GBP/USD clips three-day losing streak, bounces off key technicals
GBP/USD rebounded on Monday, snapping a three-day losing streak and chalking in a technical bounce from the 50-day Exponential Moving Average (EMA) as broad-market Greenback flows recede. Cable traders will face a double-header of Purchasing Managers Index (PMI) survey results on Tuesday, and business expectations are expected to take a slight hit on both sides of the Atlantic.
The UK’s Manufacturing PMI for September is forecast to hold steady at 47.0, but the Services PMI component is expected to backslide to 53.5 from 54.2. On the American side of the data docket, September’s PMI results are expected to retreat across the board, with the Manufacturing component set to decline sharply to 52.0 from 53.0. The US Services PMI survey is expected to show business sentiment contracted to 53.9 from 54.5. Read more…
GBP/USD rebounds as Dollar softens, but UK risks limit upside
The Pound Sterling (GBP) bounces off a two-week low of 1.3453 on Monday, yet bulls are not out of the woods, after the pair hit a two-month peak of 1.3726 last week before plunging following the Federal Reserve’s decision to reduce interest rates. GBP/USD trades at 1.3496, up 0.27%.
The Greenback depreciates during Monday’s session, as depicted by the US Dollar Index (DXY). The DXY, which tracks the performance of the buck’s value against a basket of six currencies, dives 0.18% at 97.47, providing a boost for most G10 FX currencies. Read more…
