The GBPUSD trading pair surges past the 1.2550 level following positive Employment data from the UK, while investors await the release of US CPI figures.
…
This is a premium post.
[s2If !current_user_can(access_s2member_level4)]Please register for FREE REGISTER to read full post below containing analysis. In case of any error or you think you are not able to read the full post below, please email us at support#nehcap.com [lwa][/s2If] [s2If current_user_can(access_s2member_level1)]
- The pair currently trades last at 1.25573.
- Pivot support is noted at 1.2462, 1.2418, 1.2349
- Pivot resistance is noted at 1.2574, 1.2643, 1.2686
The previous day high was 1.2599 while the previous day low was 1.2487. The daily 38.2% Fib levels comes at 1.253, expected to provide support. Similarly, the daily 61.8% fib level is at 1.2557, expected to provide support.
Apart from that, Average Earnings excluding bonuses have soared to 6.5% against the consensus and the former release of 6.1%. Investors should note that higher earnings have remained a major concern for the Bank of England (BoE) while battling against stubborn inflation.
UK firms have been facing issues of labor shortages and are offsetting the same through higher payouts. Brexit and early retirements by individuals have remained major catalysts behind labor shortages.
Considering the resilience in the UK Employment data, BoE Governor Andrew Bailey would definitely go for further policy-tightening by 25 basis points (bps) to 4.75%.
Meanwhile, S&P500 futures added decent gains in the Asian session. US equities also found significant interest from the market participants on Monday as investors are hoping that the Federal Reserve (Fed) would skip raising interest rates this time. However, hawkish guidance cannot be ruled out as the inflation rate is still more than double the desired rate of 2%.
Before the Fed policy, the United States Consumer Price Index (CPI) data will be keenly watched. Monthly headline inflation (May) is expected to accelerate at a pace of 0.2%, slower than the 0.4% pace being recorded for April. However, the monthly pace in core CPI that excludes oil and food prices is seen steady at 0.4%.
Technical Levels: Supports and Resistances
GBPUSD currently trading at 1.253 at the time of writing. Pair opened at 1.2505 and is trading with a change of 0.2 % .
| Overview | Overview.1 | |
|---|---|---|
| 0 | Today last price | 1.2530 |
| 1 | Today Daily Change | 0.0025 |
| 2 | Today Daily Change % | 0.2000 |
| 3 | Today daily open | 1.2505 |
The pair remains strongly bullish on the daily timeframe. It trades above its 20 SMA @ 1.2442, 50 SMA 1.2471, 100 SMA @ 1.231 and 200 SMA @ 1.2021.
| Trends | Trends.1 | |
|---|---|---|
| 0 | Daily SMA20 | 1.2442 |
| 1 | Daily SMA50 | 1.2471 |
| 2 | Daily SMA100 | 1.2310 |
| 3 | Daily SMA200 | 1.2021 |
The previous day high was 1.2599 while the previous day low was 1.2487. The daily 38.2% Fib levels comes at 1.253, expected to provide support. Similarly, the daily 61.8% fib level is at 1.2557, expected to provide support.
Note the levels of interest below:
| Levels | Levels.1 |
|---|---|
| Previous Daily High | 1.2599 |
| Previous Daily Low | 1.2487 |
| Previous Weekly High | 1.2590 |
| Previous Weekly Low | 1.2369 |
| Previous Monthly High | 1.2680 |
| Previous Monthly Low | 1.2308 |
| Daily Fibonacci 38.2% | 1.2530 |
| Daily Fibonacci 61.8% | 1.2557 |
| Daily Pivot Point S1 | 1.2462 |
| Daily Pivot Point S2 | 1.2418 |
| Daily Pivot Point S3 | 1.2349 |
| Daily Pivot Point R1 | 1.2574 |
| Daily Pivot Point R2 | 1.2643 |
| Daily Pivot Point R3 | 1.2686 |
[/s2If]
Nehcap Expert Advisor
The NEHCAP MT4 EA is high quality professional trading system geared to generate returns without using GRID or martingales. Each trade has strict risk per trade parameter. The pairs under management include EURUSD, GBPUSD, AUDCAD, AUDNZD,GBPAUD, EURAUD, EURCAD, CHFJPY and many more.
The system is trading live: LIVE ACCOUNT TRACKING
You can run it free. Apply for a free trial and track our account. Buy the system or use profit share mechanism to generate returns on your MT4.
Join Our Telegram Group
