23 Sep 2013
GBP/USD blocked by 1.6050 limits
FXstreet.com (Chicago) - GBP/USD continues trading below the 1.6050 zone despite numerous attempts to breakthrough during the afternoon of the American trading session. The pair accumulates 0.27% daily gains so far for a stellar 3.08% advancement this month.
Weaker dollar
Worse than expected US manufacturing results have weakened the dollar today. The market manufacturing PMI for September was 52.8 vs. expected 54 and estimates at 53.1. The Chicago Fed National Activity Index was 0.14 vs. past -0.43. In recent commentaries by the BoE MPC member Ben Broadbent, the “UK output in Q3 is strong so far” and there is acceleration in productivity and a gentle fall in unemployment.
GBP/USD Technical Levels
Price action reveals the continuation of a steady upward trendline starting 7 weeks ago and price fluctuation within bullish channel boundaries. With 1.6074 and 1.5991 lows, the pair now trades at 1.6049 and oscillates between supports aligned at 1.5976 (September 18th highs), 1.5936 (September 17th highs) followed by 1.5878 (September 17th lows) and resistances set at 1.6066 (December 30th lows), 1.6116 (January 15th highs) followed by 1.6163 (September 18th highs). According to the FXstreet.com trend index, the pair is strongly bullish on one-hour timeframe and flows above the EMA20.
Weaker dollar
Worse than expected US manufacturing results have weakened the dollar today. The market manufacturing PMI for September was 52.8 vs. expected 54 and estimates at 53.1. The Chicago Fed National Activity Index was 0.14 vs. past -0.43. In recent commentaries by the BoE MPC member Ben Broadbent, the “UK output in Q3 is strong so far” and there is acceleration in productivity and a gentle fall in unemployment.
GBP/USD Technical Levels
Price action reveals the continuation of a steady upward trendline starting 7 weeks ago and price fluctuation within bullish channel boundaries. With 1.6074 and 1.5991 lows, the pair now trades at 1.6049 and oscillates between supports aligned at 1.5976 (September 18th highs), 1.5936 (September 17th highs) followed by 1.5878 (September 17th lows) and resistances set at 1.6066 (December 30th lows), 1.6116 (January 15th highs) followed by 1.6163 (September 18th highs). According to the FXstreet.com trend index, the pair is strongly bullish on one-hour timeframe and flows above the EMA20.