GBP rebounds more as the appetite for risk rises, with the United Kingdom’s the gross domestic product in spotlight.
GBP Key Points & Perspective
The British pound (GBP) is projected to rise further under a risk-on market scenario.
The British economy is expected to decrease somewhat in the third quarter owing to higher interest rates Which is a bad for the Sterling.
Increasing Middle Eastern conflicts may keep the overall threat profile detrimental.
The (GBP) is poised for more gains as investor sentiment supports risk-specific items. The GBPUSD duo is looking for additional gains. Since traders expect that the policy disparity between the US Fed with the BoE does not grow farther. Given that each are adequately stringent to preserve pricing stability.
The provisional the UK third quarter (GDP) of 2023, which would which will be reported during the week. It could result in more British pound movement. Analysts predict a somewhat declining third-quarter Output as British businesses reduce manpower. As well as inventory in response to a weak demand climate. Corporate investment will stay weak in the period between July and Sept. Because companies delay expansion of capacity projects in order to prevent higher financing rates.
It is critical to remember that the rate, market in the United States have lately seen a significant decrease. This change has had a huge impact on the US dollar. In addition, the poor employment data issued on Friday has fueled suspicion that the Fed may abandon its tighter policy. Though we believe this viewpoint is erroneous, the market has adopted it, so as a result. It is more probable that it will sustain its upward trajectory.
- The prospect for the GBPUSD has significantly improved.
- Second goal, helped by a large climb on Friday, is the 200-day MA
- Britain’s GDP, Bailey’s talk, and Powell’s remarks will all be important for the Greenback.
Technical Analysis & View
The report’s result impacted on American rates, increasing ‘danger on’ commodities. While placing a strain on the dollar, that fell versus all the G10 counterparts.
According to our technical experts, the prognosis for GBPUSD has brightened. With a challenge of the important 200-day MA will signify a more definitive reversal of tendency. Favoring additional Pound increases.
Source: TradingView
GBPUSD at daily durations is shown above.
Daily Performance Elements
▲- Trajectory
1.240.00 (0.37%)Update 06/11/2023 03:01:32
High1. 24232
Low1. 23645
Open1. 23717
Prev Close1 .24179
52Wk High 1.31274Since 7/13/2023-5.36%
52Wk Low 1.18265Since 3/7/20234.55%
20-Day Average 1.21927
200-Day Average 1.26569
14-Day Rel Strength 71.6523
14-Day Stochastic 42.47722
GBPUSD Support and Resistance levels
S31.20368
S21.20368
S11.20689
R11.24231
R21.25479
R31.31418
Last updated: Nov 6, 2023
