Published On: Fri, Apr 28th, 2017

GBPUSD – British Pound Eyes Further Gains Vs US Dollar

InstaForex

British Pound Sterling GBPUSD

Key Points

  • The British Pound made a nice upside move and traded past the 1.2900 resistance against the US Dollar.
  • There is a major bullish trend line with support at 1.2880 formed on the hourly chart of GBPUSD.
  • Today in the UK, the GfK Group Consumer Confidence for April 2017 was released.
  • The outcome was as expected, as there was a decline in the confidence from the last reading of -6 to -7.

GBPUSD Technical Analysis

The British Pound remained in an uptrend and moved higher from the 1.2800 support against the US Dollar. There was a nice rise, as the GBPUSD pair traded above 1.2900. A new Intraday high was formed at 1.2917, and currently the pair is correcting lower.

GBPUSD Technical Analysis

The pair may move down towards the 23.6% Fib retracement level of the last wave from the 1.2805 low to 1.2917 high.

There is also a major bullish trend line with support at 1.2880 formed on the hourly chart along with the 21 hourly simple moving average, waiting to act as a barrier for sellers at 1.2880 in the short term.

GfK Group Consumer Confidence

Recently in the UK, the GfK Group Consumer Confidence for April 2017 was released. The forecast was lined up for the Group Consumer Confidence to decrease from the last reading of -6 to -7 in April 2017.

The result was as expected, as there was a decline in the confidence from the last reading of -6 to -7. Commenting on the decline, the Head of Market Dynamics at GfK, Joe Staton, , stated “In the face of widespread reports of rampant inflation, stagnating wages and anxiety over our borrowing binge, UK consumer confidence is surprisingly stable. Although the Overall Index Score remains in negative territory, and has dipped this month, we have not seen any evidence of the predicted post-Trigger downturn, despite high levels of concern about the general economic situation of the country”.

Overall, the GBPUSD remains in an uptrend, and might soon to trade past the 1.2920 level for further gains.

FXTimes

Leave a comment

XHTML: You can use these html tags: <a href="" title=""> <abbr title=""> <acronym title=""> <b> <blockquote cite=""> <cite> <code> <del datetime=""> <em> <i> <q cite=""> <s> <strike> <strong>