Market Research and Analysis

Daily Market Analysis Report

Mon, 12 Jun 2017 07:50 AM GMT

Author: Senior Forex Analyst, Arslan Ali Butt

  • Daily Trading Range:
  • 1.3000 – 1.2750
  • Support & Resistance Levels:
  • R3: 1.3383
    R2: 1.3143
    R1: 1.2993
    Pivot Point: 1.2753
    S1: 1.2603
    S2: 1.2363
    S3: 1.2213
  • Trading Recommendation:
  • Sell Below: 1.2735
    Take Profit:
    1st @ 1.2685
    Stop Loss @ 1.2750

GBPUSD

GBP/USD kept up an upside inclination heading into Thursday’s UK general decision, as speculators seem to have put money on Prime Minister May and her Conservative Party leaving with a strong triumph. Notwithstanding, the pair was caught off-guard as it ended up noticeably clear that May’s require an early decision with an end goal to merge control in front of Brexit arrangements, which are because of begin in the not so distant future, would reverse discharge, with the Conservative Party neglecting to win a larger part. Truth be told, none of the UK’s political gatherings left Thursday’s decision with a general larger part.

12 June GBP
Fundamental Overview

In the 3 months to April 2017 compared with the 3 months to January 2017, the Index of Production was estimated to have decreased by 1.2%, due mainly to falls of 5.8% in energy supply and 0.7% in manufacturing. The highly volatile pharmaceuticals sector fell by a record 11.9% and provided the largest downward pressure on manufacturing, following an increase of 10.1% in the 3 months to January 2017. In the 3 months to April 2017 compared with the same 3 months a year ago, the Index of Production increased by 1.0%, this was due mainly to a rise of 1.7% in manufacturing, which was largely due to transport equipment along with broad-based.

GBP

  • No Economic Event Expected

USD

  • 10-y Bond Auction
  • Federal Budget Balance

Technical Overview

GBPUSD is trading at 1.2745 and has an immediate support at 1.2675 followed by 1.2635 and then 1.2584. On the flip side, a breakout of 1.2953 would aim for 1.3013 and lastly 1.3051 will be worth watching. This week, we are looking at the FOMC meeting to determine further trends in the pair.

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