The Pound doesn’t leave the range. Overview for 31.08.2016
31.08.2016
The GBP/USD pair is moving a little bit upwards in the middle of the week; the statistics is positive.
The British pound has been moving in the same trading range since July 6th, i.e. for almost two months. Over the last three weeks, the range has been narrowing a bit. Either the market is waiting for the September meeting of the European Union relating to the brexit without the United Kingdom, or investors may have found some spots, which are more or less comfortable, and are going to stay there until there appear more details concerning the brexit. The current quote for the instrument is 1.3100.
Today’s statistics showed that the rise of housing prices is the biggest over the last five months. According to Nationwide, the housing prices in August increased by 5.6% y/y, whereas in July the indicator went up by 5.2% y/y. This month, the indicator was predicted to decrease by 0.3% m/m, but it added 0.6% m/m instead.
Right now, it’s not clear what might happen to the British housing demand, in the light of the brexit, of course. The country hasn’t left anywhere yet, the real estate market looks rather stable. Most probably, the demand and the stability will in many ways depend on the employment market and the population’s financial solvency.
The British Pound is being led by the market so far: too much depends on the long-term outlook, the key dates are September (the EU) and December, when London may announce its political decision to exit the European Union.
RoboForex Analytical Department
The British pound has been moving in the same trading range since July 6th, i.e. for almost two months. Over the last three weeks, the range has been narrowing a bit. Either the market is waiting for the September meeting of the European Union relating to the brexit without the United Kingdom, or investors may have found some spots, which are more or less comfortable, and are going to stay there until there appear more details concerning the brexit. The current quote for the instrument is 1.3100.
Today’s statistics showed that the rise of housing prices is the biggest over the last five months. According to Nationwide, the housing prices in August increased by 5.6% y/y, whereas in July the indicator went up by 5.2% y/y. This month, the indicator was predicted to decrease by 0.3% m/m, but it added 0.6% m/m instead.
Right now, it’s not clear what might happen to the British housing demand, in the light of the brexit, of course. The country hasn’t left anywhere yet, the real estate market looks rather stable. Most probably, the demand and the stability will in many ways depend on the employment market and the population’s financial solvency.
The British Pound is being led by the market so far: too much depends on the long-term outlook, the key dates are September (the EU) and December, when London may announce its political decision to exit the European Union.
RoboForex Analytical Department
Attention!
Forecasts presented in this section only reflect the author’s private opinion and should not be considered as guidance for trading. RoboForex bears no responsibility for trading results based on trading recommendations described in these analytical reviews.