The pound found support
18.06.2015
The GBP/USD pair is traded upward and is ready to update the highs of October amid the release of confident statistics.
The British Pound looks great. The currency is strengthening on Thursday after rising yesterday, and investors are finding new points of support and are pushing the instrument up.
According to the data released today, UK retail sales in May rose by 0.2% m/m (4.6% y / y). This is the second consecutive fact of sales growth, and the market appreciated it quite positively.
The components of the report showed that sales excluding the volatile commodity groups (fuel, excise taxes) also increased by 0.2% m/m, in line with expectations. The restoration of consumer demand, which is immediately reflected in retail sales, can speed up the decision-making on interest rates by the Bank of England.
Naturally, no one will especially rush such an important step. But if a segment of demand and sales remain strong, it will be another asset for the regulator to use to tighten monetary conditions in the economy.
For the GBP/USD pair a strong resistance is now at the 1.5920 mark. With the breakthrough of that figure and securing a higher mark, the pound will move to 1.60.
RoboForex Analytical Department
The British Pound looks great. The currency is strengthening on Thursday after rising yesterday, and investors are finding new points of support and are pushing the instrument up.
According to the data released today, UK retail sales in May rose by 0.2% m/m (4.6% y / y). This is the second consecutive fact of sales growth, and the market appreciated it quite positively.
The components of the report showed that sales excluding the volatile commodity groups (fuel, excise taxes) also increased by 0.2% m/m, in line with expectations. The restoration of consumer demand, which is immediately reflected in retail sales, can speed up the decision-making on interest rates by the Bank of England.
Naturally, no one will especially rush such an important step. But if a segment of demand and sales remain strong, it will be another asset for the regulator to use to tighten monetary conditions in the economy.
For the GBP/USD pair a strong resistance is now at the 1.5920 mark. With the breakthrough of that figure and securing a higher mark, the pound will move to 1.60.
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.