30 Aug 2013
GBP/USD trading lower on ‘tapering’ tensions
FXstreet.com (Athens) -The GBP/USD is trading downwards on Friday, due to a general corrective pullback in the sterling’s trend, as well as on solid US data.
GBP/USD under pressure, as US GDP brings tapering ‘sooner’ than ‘later’
The GBP/USD is trading downwards due to solid US data and more precisely on Thursday’s released GDP, which was released in much better than expected figures. Most analysts all over the globe now, consider that Fed will start ‘tapering’ soon, while the next week will be the crucial one for that decision. GLOBAL ECONOMICS ING FINMKT suggest that “We will have a much better idea of when the Federal Reserve will start tapering its asset purchases after this coming week’s data releases. Since it is a holiday-shortened week, the reports will be packed in with the ISM manufacturing index due on Tuesday and the labor report set to be published Friday. The latter should be good, given the firm economic activity data we have been seeing and the decline in jobless claims. As such, we could see payrolls rise close to 200,000 and the unemployment rate edge down, which would clearly favor a September taper announcement”.
Technical Outlook on GBP/USD
At the time of writing, the cable is trading at 1.5492, down 0.08%. The FXstreet.com Trend Index shows the pair to be slightly bearish. Daily pivot point support and resistance can be found at S3: 1.5417 S2: 1.5420 S1: 1.5356 R1:1.5527 R2:1.5565 R3:1.5604
GBP/USD under pressure, as US GDP brings tapering ‘sooner’ than ‘later’
The GBP/USD is trading downwards due to solid US data and more precisely on Thursday’s released GDP, which was released in much better than expected figures. Most analysts all over the globe now, consider that Fed will start ‘tapering’ soon, while the next week will be the crucial one for that decision. GLOBAL ECONOMICS ING FINMKT suggest that “We will have a much better idea of when the Federal Reserve will start tapering its asset purchases after this coming week’s data releases. Since it is a holiday-shortened week, the reports will be packed in with the ISM manufacturing index due on Tuesday and the labor report set to be published Friday. The latter should be good, given the firm economic activity data we have been seeing and the decline in jobless claims. As such, we could see payrolls rise close to 200,000 and the unemployment rate edge down, which would clearly favor a September taper announcement”.
Technical Outlook on GBP/USD
At the time of writing, the cable is trading at 1.5492, down 0.08%. The FXstreet.com Trend Index shows the pair to be slightly bearish. Daily pivot point support and resistance can be found at S3: 1.5417 S2: 1.5420 S1: 1.5356 R1:1.5527 R2:1.5565 R3:1.5604