GBP bulls now eyeing a sustained move

17 September, 2018

Renewed USD selling helps regain positive traction at the start of a new week. The up-move lacked follow-through amid absent fundamental drivers/relevant data.

The GBP/USD pair built on its steady intraday climb and refreshed session tops in the last hour, recovering a major part of Friday's corrective slide from six-week tops.

News that the Labour party is set to vote against PM May Chequers' Brexit deal, coupled with a batch of upbeat US economic data prompted some fresh selling around the major on Friday. The selling pressure aggravated after a report indicated that US President Donald Trump wanted to proceed with tariffs on $200 billion worth of Chinese goods.

Despite growing fears about a full-blown US-China trade war, renewed US Dollar selling was seen as one of the key factors behind the pair's positive momentum at the start of a new trading week. The British Pound got an additional boost after the UK Finance Minister Phillip Hammond reaffirmed prospects for a Brexit deal this autumn.

The uptick, exclusively driven by the USD price dynamics, lacked any strong follow-through momentum beyond the 1.3100 handle amid absent relevant UK economic data. Later during the early North-American session, the release of Empire State Manufacturing Index will now be looked upon to grab some short-term trading opportunities.

Momentum beyond the 1.3100 mark is likely to confront resistance near the 1.3135 area, above which the pair seems all set to aim towards challenging the 100-day SMA barrier near the 1.3180 region. On the flip side, the 1.3060-50 region might continue to protect the immediate downside, which if broken might turn the pair vulnerable to slide further towards the key 1.30 psychological mark.


Source  
2020 Elections: Uncertainty to weigh on markets4 Nov, 2020  

It looks like the US election is heading into the protracted uncertainty scenario. The FX market has remained fairly well-behaved overnight with the G10...

Gold clings to gains near session tops, above $1950 level18 Sep, 2020  

Gold regained positive traction and recovered a major part of the overnight losses. Sustained USD selling extended some support to the dollar-denominated commodity...

Gold in search of a firm direction14 Feb, 2020  

Gold failed to capitalize on the overnight positive move to over one-week tops. Improving risk-sentiment undermined demand for the safe-haven commodity...


EUR/USD to trade back to 1.1214 Jan, 2019  

Analysts at ING are expecting the EUR/USD pair to trade back to 1.12 over coming months, guided by the modest dollar strength. There's very little..

Gold awaits a breakthrough $121616 Nov, 2018  

The precious metal traded with a mild positive bias for the fourth consecutive session on Friday, albeit seemed struggling to build on its positive move beyond...

The Fed acknowledges uncertainty and risks present in the inflation outlook7 Jan, 2016  

The minutes of the US Federal Reserve December 15-16 meeting was published yesterday. The Fed had in its December meeting raised the interest rates from record low levels for the first time in a decade...


Oil recovers from below $37.00 a barrel, reverses daily losses8 Dec, 2015  

Oil prices reversed daily losses during the New York session amid profit taking in the absence of fundamental catalysts. WTI turned positive for the day after hitting a fresh 6-year low of $36.64 a barrel, and climbed back above $38.00 a barrel...

European stocks rise as countdown begins for ECB meeting19 Nov, 2015  

The European stocks rallied on Thursday as the investors now look towards the Dec 3rd European Central Bank (ECB) meeting, where Draghi is expected to announce additional stimulus measures...

Gold remains stuck in a range11 Nov, 2015  

The immediate resistance is seen at 1091.53 (hourly 50-MA), above which the prices could test 1100. On the other side, support is seen at 1085.44 (Friday’s low), under which the losses could be extended to 1070 (July lows)...