The British pound has stabilized
29.05.2014
The GBP/USD pair has found support and stabilized after sales on Wednesday and the beginning of the week, but it is not a fact that these sales will stop.
The British Pound did not have much luck this week - the correction that began in the end of last week was interrupted on Monday when the UK was on holidays, but returned in full on Tuesday and lasted until this morning.
This Thursday afternoon, however, the pound stabilized. The UK released data showing that the production of cars in the country in April increased by 21% to a level of 133.437 thousand and 106,507 thousand cars went for export. These are positive figures and they show a decent state of the industrial sector of the British economy.
However, it is quite possible that the current stabilization in the GBP/USD pair is only a temporary lull, as seen before, and the sellers will later come back into the market. In this light, it is possible that the aim of the "bears" will be a figure of 1.6660, the session low from April 15.
The long-term expectations for the pair are rather positive, so the drawdown of the local "bottom" can be used to build positions in the instrument.
RoboForex Analytical Department
The British Pound did not have much luck this week - the correction that began in the end of last week was interrupted on Monday when the UK was on holidays, but returned in full on Tuesday and lasted until this morning.
This Thursday afternoon, however, the pound stabilized. The UK released data showing that the production of cars in the country in April increased by 21% to a level of 133.437 thousand and 106,507 thousand cars went for export. These are positive figures and they show a decent state of the industrial sector of the British economy.
However, it is quite possible that the current stabilization in the GBP/USD pair is only a temporary lull, as seen before, and the sellers will later come back into the market. In this light, it is possible that the aim of the "bears" will be a figure of 1.6660, the session low from April 15.
The long-term expectations for the pair are rather positive, so the drawdown of the local "bottom" can be used to build positions in the instrument.
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.