Today was a very important day for GBP/USD as few important news has been published today. On the pound sterling’s front, UK CPI came in better than expected. CPI rose by 2.3%, beating expectations for a 2.1% gain. Public Sector Net Borrowing report also showed a positive dynamic of a reduced borrowing of 1.1B which was expected to be at 2.9B. The Retail Price Index report was also very positive, logging a 3.2% growth instead of the expected rise of 2.9%. Currently, GBP has bounced off from 1.2390. As fundamental data makes a positive impact on the currency, a further gain is expected in GBP.
Now let us apply technical analysis. The price has bounced off the support area after the bearish close yesterday. Currently, the price has no barrier or resistance to stop it to hit the 1.2550 resistance area. The price is expected to reach the resistance area of 1.2550. If the price breaks above the 1.2550, we might see another bullish move towards 1.28. On the other hand, if the price rejects the bulls from the 1.2550 resistance, a further down move towards 1.2390 is expected.
The material has been provided by InstaForex Company – www.instaforex.com Source: Instaforex.com
Today was a very important day for GBP/USD as few important news has been published today. On the pound sterling’s front, UK CPI came in better than expected. CPI rose by 2.3%, beating expectations for a 2.1% gain. Public Sector Net Borrowing report also showed a positive dynamic of a reduced borrowing of 1.1B which was expected to be at 2.9B. The Retail Price Index report was also very positive, logging a 3.2% growth instead of the expected rise of 2.9%. Currently, GBP has bounced off from 1.2390. As fundamental data makes a positive impact on the currency, a further gain is expected in GBP.
Now let us apply technical analysis. The price has bounced off the support area after the bearish close yesterday. Currently, the price has no barrier or resistance to stop it to hit the 1.2550 resistance area. The price is expected to reach the resistance area of 1.2550. If the price breaks above the 1.2550, we might see another bullish move towards 1.28. On the other hand, if the price rejects the bulls from the 1.2550 resistance, a further down move towards 1.2390 is expected.
The material has been provided by InstaForex Company – www.instaforex.com
Source: Instaforex.com
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