GBP Trading Outlook
The Japanese Yen (JPY) the USD/JPY edged slightly higher and then spiked higher in Early Asia on reports that North Korea had launched a missile. The missile failure and then the China GDP miss sent the crosses sharply lower dragging the major back under Y81.
The Sterling (GBP) the relief rally played out on the GBP/USD by consolidating above 1.5900. We are very close to 1.6000 and recent 2012 highs so this is causing buyers hesitation. GBP/JPY is slipping but EUR/GBP is pressuring the 0.8240 level and could break at any moment. Looking ahead, February Industrial Production forecast at -0.3% vs. 0.2% previously.
The Sterling (GBP) the GBP/USD fell back but found support in the lower 1.5800 region before reversing back with the support seen on the EUR/USD. The outlook is mixed but if EUR/GBP can break 0.8200 and move to the historical support at 0.8000 then the GBP/USD should be spared any large moves from European debt shocks. Update German March WPI at 0.9% vs. 1.0% previously.
The Sterling (GBP) GBP/USD grinded back above 1.5900 and is showing strength on GBP/JPY and EUR/GBP. The outlook is mixed with a EUR/USD slump likely to drag the GBP/USD lower while the upside is linked to risk appetite and the US/global recovery.Looking ahead, February Trade balance forecast at 13.6bn vs. 14.2bn previously.
The Sterling (GBP) ignored most of the post jobs movement falling against the GBP/JPY but gaining against most other currencies with solid support for the GBP/USD lately. Looking ahead, Most of Europe Closed for Easter Holiday.
Go to The Sterling (GBP) Archive



