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Earlier this morning the really good UK data releases on GDP and manufacturing and industrial production did not immediately transpose into gains for the GBP/USD. That was because the EUR/USD was back-peddling at the time. Well, since then of course the EUR/USD has taken off and reached a high earlier at 1.1473. It is off that high now, but the GBP/USD is still in its session highs, or at least very close to them. So, the GBP/USD did eventually react to the UK data and it has since been helped by a modest reversal in the EUR/GBP. Question- is there more gas in the tank and can the Pound now take out the 1.3207 high seen last week? Well, yes it can but that does infer more dollar weakness to come is required. That said who wants the US currency right now? Mot many it seems and that has been a stance here for quite a while now. The rest of the argument is now up to the Pound to take advantage of all that surrounds it. The next level is of course 1.3207 and thereafter we 2024 high, at 1.3434. Both look increasingly on the radar now. The GBP/USD is currently trading at 1.3141
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