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
Bearish
Oil - US Crude
Bearish
Wall Street
Mixed
Gold
Mixed
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
GBP/USD
Bullish
USD/JPY
Bearish
More View more
Real Time News
  • 🇮🇳 Inflation Rate YoY (JUN) Actual: 6.09% Expected: 5.3% Previous: 5.91% https://www.dailyfx.com/economic-calendar#2020-07-13
  • Hey traders! I'm sure you've all heard about trend trading. Sharpen your knowledge here: https://t.co/jkliL5sxj7 https://t.co/0MG5XPiDF6
  • Heads Up:🇮🇳 Inflation Rate YoY (JUN) due at 12:00 GMT (15min) Expected: 5.3% Previous: 5.91% https://www.dailyfx.com/economic-calendar#2020-07-13
  • RT @DanielGMoss: #Silver surging to fresh yearly highs as the RSI bursts into overbought territory Significant change in sentiment as pri…
  • Join @MBForex at 8:30 AM ET/12:30 PM GMT for his weekly strategy #webinar Register here: https://t.co/VAnAfZU02T https://t.co/fu8UmwtSkz
  • Heads Up:🇧🇷 BCB Focus Market Readout due at 11:30 GMT (15min) https://www.dailyfx.com/economic-calendar#2020-07-13
  • IG Client Sentiment Update: Our data shows the vast majority of traders in Ripple are long at 96.95%, while traders in US 500 are at opposite extremes with 73.16%. See the summary chart below and full details and charts on DailyFX: https://www.dailyfx.com/sentiment https://t.co/PQBbkVhsYC
  • Tune in to @CVecchioFX 's #webinar at 7:30 AM ET/11:30 AM GMT for insight on major event risk in the week ahead. Register here: https://t.co/X8TIhpKxtF https://t.co/cY4d8HuulB
  • Commodities Update: As of 10:00, these are your best and worst performers based on the London trading schedule: Silver: 1.76% Gold: 0.55% Oil - US Crude: -1.72% View the performance of all markets via https://www.dailyfx.com/forex-rates#commodities https://t.co/3jrww8p1wR
  • Forex Update: As of 10:00, these are your best and worst performers based on the London trading schedule: 🇦🇺AUD: 0.34% 🇪🇺EUR: 0.24% 🇨🇦CAD: 0.18% 🇨🇭CHF: -0.04% 🇬🇧GBP: -0.09% 🇯🇵JPY: -0.16% View the performance of all markets via https://www.dailyfx.com/forex-rates#currencies https://t.co/MrwBNuRDKM
British Pound May Recover on Profit-Taking After 2Q UK GDP Report

British Pound May Recover on Profit-Taking After 2Q UK GDP Report

2014-08-15 05:58:00
Ilya Spivak, Head Strategist, APAC
Share:

Talking Points:

  • British Pound May Turn Higher on Profit-Taking After 2Q UK GDP Data
  • US Dollar Could Rise on Firming Fed Outlook if PPI Figures Outperform
  • See Economic News Releases on Your Charts with the DailyFX News App

A revised set of second-quarter UK GDP figures amounts to the only bit of noteworthy event risk on tap in European trading hours. Expectations suggest the initial estimate showing output grew 0.8 percent in the three months through June will be confirmed. UK economic news-flow has stabilized relative to consensus forecasts over recent weeks according to data from Citigroup. That points to a kind of balance between expected and realized data outcomes, hinting a print in line with analysts’ bets is probable.

Such a result may open the door for a corrective rebound in the British Pound. The currency stalled yesterday after a dramatic selloff in the wake of the release of the BOE Quarterly Inflation Report (QIR). The quiet passing of the last bit of relevant event risk for the week and the extent recent selling – Sterling had fallen for five consecutive weeks heading into the QIR – may open the door for a bounce driven by profit-taking. Technical positioning seems to reinforce the probability of an on-coming advance.

Later in the day, the spotlight shifts to the US data docket. July’s PPI and Industrial Production figures as well as Augusts’ preliminary University of Michigan Consumer Confidence reading are on tap. The latter two reports are expected to show improvements with output rising 0.3 percent and the UofM gauge erasing July’s downswing. The pace of wholesale inflation is expected to ease for a third consecutive month, sliding to 1.7 percent year-on-year from 1.9 percent recorded in the prior month.

US price-growth data has increasingly outperformed compared analysts’ bets since the beginning of the year however, opening the door for an upside surprise on the PPI front. Such an outcome coupled with supportive news-flow elsewhere on the US calendar may fuel speculation that the Federal Reserve will raise interest rates relatively soon after the end of QE3 in October, sending the US Dollar higher. The chart setup warns of ebbing upside momentum and hints a pullback may be ahead after the greenback hit a five-month high however.

New to FX? START HERE!

Asia Session

GMT

CCY

EVENT

ACT

EXP

PREV

No Data

European Session

GMT

CCY

EVENT

EXP

PREV

IMPACT

8:30

GBP

Gross Domestic Product (QoQ) (2Q P)

0.8%

0.8%

Medium

8:30

GBP

Gross Domestic Product (YoY) (2Q P)

3.1%

3.1%

Medium

8:30

GBP

Index of Services (MoM) (JUN)

0.3%

0.3%

Low

8:30

GBP

Index of Services (3M/3M) (JUN)

1.0%

1.0%

Low

Critical Levels

CCY

Supp 3

Supp 2

Supp 1

Pivot Point

Res 1

Res 2

Res 3

EURUSD

1.3256

1.3315

1.3340

1.3374

1.3399

1.3433

1.3492

GBPUSD

1.6602

1.6641

1.6664

1.6680

1.6703

1.6719

1.6758

--- Written by Ilya Spivak, Currency Strategist for DailyFX.com

To receive Ilya's analysis directly via email, please SIGN UP HERE

Contact and follow Ilya on Twitter: @IlyaSpivak

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

DISCLOSURES

News & Analysis at your fingertips.