GBPUSD Technical Analysis: Stable Performance So Far forextrading
The pound's gains increased last week in response to studies indicating that the Omicron variant could pose less of a threat to public health than its predecessors, which means that it may be less headwind to economies than the previously prevailing variables.
Dollar exchange rates appear to have taken a rest from what is now a six-month high despite the US Federal Reserve strongly signaling in December that it may raise USas soon as March next year, providing additional tailwinds to sterling. Commenting on the performance, Paul Siana, chief analyst at BofA Global Research, said in a recent note, “We see a tactical range for GBP/USD to move higher at the end of the year like the 50d simple moving average now at 1.
There are no global central bank policy events or major economic numbers scheduled this week, leaving only the normally low volumes of holiday market trading conditions to drivein the British pound and other currencies. However, once into the new year, market interest is likely to return to the size of the burden placed on the economy by the Omicron strain of coronavirus and the government's response to it, as well as any spillover effect on market expectations of interest rates in the BoE.
Jordan Rochester, an analyst at Nomura, says: “I am shorting the GBP/USD so naturally this move is worrisome, but I think it is more of a random rally in the Christmas market rather than the start of a trend. New bullishness with the positive impulse from the Bank of England rate hikes which are already largely priced in.” Rochester warned: “The BOE is already fully priced for February and 100bp+ for November next year - so I see more room for a US rate hike after the BoE .
Australia Latest News, Australia Headlines
Similar News:You can also read news stories similar to this one that we have collected from other news sources.
GBP/USD Technical Analysis: Rebound Higher Needs MomentumHealthy risk appetite and abandonment of the US dollar as a safe haven helped the GBP/USD settle upwards around the resistance level 1.3445.
Read more »
GBP/USD Price Analysis: Evening Doji, rising wedge lure sellers above 1.3400GBP/USD Price Analysis: Evening Doji, rising wedge lure sellers above 1.3400 By anilpanchal7 GBPUSD Technical Analysis Candlesticks Chartism SupportResistance
Read more »
USD/JPY Technical Analysis: When Should You Sell?The Japanese yen\u0027s decline continued this week, despite optimism about the world\u0027s third largest economy.
Read more »
EUR/USD Technical Analysis: Rebound Attempts Have StoppedThe EUR/USD has maintained its recovery from November lows below the 1.12 support but repeatedly turned away from technical resistance near the 1.1356 level.
Read more »
GBP/USD Forex Signal: Consolidation Above $1.3376GBP/USD ForexSignal: Consolidation Above $1.3376
Read more »
AUD/USD Price Analysis: Keeps rebound from 0.7200 immediate supportAUD/USD Price Analysis: Keeps rebound from 0.7200 immediate support By anilpanchal7 AUDUSD Technical Analysis ChartPatterns SupportResistance SwingTrading
Read more »