We use a range of cookies to give you the best possible browsing experience. By continuing to use this website, you agree to our use of cookies.
You can learn more about our cookie policy here, or by following the link at the bottom of any page on our site.

0

Notifications

Notifications below are based on filters which can be adjusted via Economic and Webinar Calendar pages.

Live Webinar

Live Webinar Events

0

Economic Calendar

Economic Calendar Events

0
Free Trading Guides
EUR/USD
Mixed
Oil - US Crude
Bullish
Low
High
of clients are net long.
of clients are net short.
Long Short

Note: Low and High figures are for the trading day.

Data provided by
Wall Street
Mixed
Gold
Bearish
GBP/USD
Bearish
USD/JPY
Mixed
More View more
Breaking news

ECB leaves monetary policy unchanged

Real Time News
  • Fed's Bostic says risk of deflation not likely a problem if control of virus is established $DXY
  • Commodities Update: As of 16:00, these are your best and worst performers based on the London trading schedule: Gold: -0.37% Silver: -0.66% Oil - US Crude: -0.86% View the performance of all markets via https://www.dailyfx.com/forex-rates#commodities https://t.co/MHCawBh8bz
  • Fed's Bostic says keeping economy closed forever is not feasible - BBG
  • Hey traders! Get your Thursday US market opening session update from @DailyFX Chief Strategist @JohnKicklighter 👇 https://t.co/7qWjhyR91D
  • Forex Update: As of 16:00, these are your best and worst performers based on the London trading schedule: 🇬🇧GBP: 0.23% 🇪🇺EUR: 0.16% 🇨🇭CHF: 0.12% 🇳🇿NZD: -0.10% 🇯🇵JPY: -0.12% 🇨🇦CAD: -0.19% View the performance of all markets via https://www.dailyfx.com/forex-rates#currencies https://t.co/UutSyUTZ2r
  • So @PrivilegeUK, our car insurer, says go to @Autoglass to replace our broken windscreen. Autoglass says it doesn't have one for our car. Privilege says we can't go to our local garage that does have one unless we pay. Come on guys. Please sort this out
  • Indices Update: As of 16:00, these are your best and worst performers based on the London trading schedule: Germany 30: -0.01% France 40: -0.03% FTSE 100: -0.08% Wall Street: -0.47% US 500: -0.66% View the performance of all markets via https://www.dailyfx.com/forex-rates#indices https://t.co/5gxVUowdSz
  • ECB officials did not reach consensus on whether they will use full bond plan - BBG
  • US Eight-Week Bills Draw 0.110% Primary Dealers Awarded: 62.7% Indirect Bidders Accepted: 34.1% Direct Bidders Accepted: 3.2% B/C Ratio: 3.22
  • Arizona virus cases increase 2.5% vs prior 2.8% 7-day average - BBG
Pound Falls Below 1.50 as US Dollar Corrects Earlier Losses

Pound Falls Below 1.50 as US Dollar Corrects Earlier Losses

2013-03-06 11:09:00
Benjamin Spier, Technical Strategist
Share:

Since starting my day when Asian markets were closing until the time of this writing, the US Dollar has made an impressive 32 point reversal according to the FXCM index. However, there doesn’t seem to be any negative shift in risk trends, as is often seen with an upturn in the safe haven US Dollar against other risk-correlated currencies, as European equities are trading higher since today’s open, and Italian and Spanish bond yields have declined.

There were also few significant stories during today’s European session to affect trading. Regarding Spain, Budget Minister Montoro said the budget gap may be less than first estimated. The positive effect on the Euro from Montoro’s comments was short lived, as EUR/USD quickly resumed its decline towards 1.3000. The Italian debt chief said the markets have reacted quite well to the elections, but there is an appetite for longer maturity debt. Italian 10-year bond yields are now trading 8.9 bps lower to 4.64%, but the comments also had little impact on Euro trading.

The biggest victim of the US Dollar strength over the European session was the British Pound. GBP/USD fell about 80 points over the session, falling as low as 1.5063 in Forex markets. The pair may now see support by the key 1.5000 level, which although was broken briefly last week, the pair has not closed below there in about 3.5 years. Resistance may be provided by the broken resistance around 1.5280.

In economic releases, Euro-zone GDP was confirmed to have declined 0.6% in Q4, as was estimated by an earlier release. The region has now seen 5 straight quarters of economic decline, but the Euro did not react to the as-estimated revision.

In the afternoon, the US Fed Beige Book will be released at 19:00 GMT. Maybe expectations for the Fed release are driving US Dollar prices, but not for certain.

(Did you understand all the terms used in today’s report? If so, test your skills with DailyFX’s Trading IQ Quiz.)

GBPUSD Daily: March 6, 2013

Pound_Falls_Below_1.50_as_US_Dollar_Corrects_Earlier_Losses_body_gbpusd.png, Pound Falls Below 1.50 as US Dollar Corrects Earlier Losses

Chart created by Benjamin Spier using Marketscope 2.0

--- Written by Benjamin Spier, DailyFX Research. Feedback can be sent to instructor@dailyfx.com .

DailyFX provides forex news and technical analysis on the trends that influence the global currency markets.

DISCLOSURES

News & Analysis at your fingertips.