30 Aug 2013
GBP/USD fluttering just above the flat line early Friday as data points loom
FXstreet.com (Barcelona) - The GBP/USD is still reflecting the weakness generated by Governor Carney’s dovish comments and more bullish data out of the US earlier this week. The data flow Friday could either reverse the trend or intensify it.
GBP/USD will react to a flurry of British and US data
The following data points from Britain and the U.S. will be released Friday:
• British housing prices
• British consumer credit
• British money supply
• British mortgage approvals
• British lending to individuals
• US Core and Total Personal Consumption Expenditure
• US Personal Income and Spending
• US Chicago PMI
• US University of Michigan Consumer Sentiment
Technical outlook for GBP/USD
Technicians are still calling for GBP/USD to move down towards the ultimate target of 1.4551. They note that only a close above 1.5738 will force them to reconsider this bearish outlook. Shorter-term support comes into play at 1.5422 (the 8/14 pivot low). Short-term resistance – which they say unless broken should be sold into – comes in at 1.5625 (the 61.8% retracement of the recent decline).
GBP/USD will react to a flurry of British and US data
The following data points from Britain and the U.S. will be released Friday:
• British housing prices
• British consumer credit
• British money supply
• British mortgage approvals
• British lending to individuals
• US Core and Total Personal Consumption Expenditure
• US Personal Income and Spending
• US Chicago PMI
• US University of Michigan Consumer Sentiment
Technical outlook for GBP/USD
Technicians are still calling for GBP/USD to move down towards the ultimate target of 1.4551. They note that only a close above 1.5738 will force them to reconsider this bearish outlook. Shorter-term support comes into play at 1.5422 (the 8/14 pivot low). Short-term resistance – which they say unless broken should be sold into – comes in at 1.5625 (the 61.8% retracement of the recent decline).