9 Jul 2013
Flash: GBP Bottom of G10 – TD Securities
FXstreet.com (London) - Research teams at TD Securities said the GBP is at the bottom of the G10 performance rankings after a disappointing UK industrial production print (particularly in view of last week’s encouraging PMI numbers).
“That’s pressed GBPUSD to a marginal new low in the June/July trend, but importantly the March low has so far held (1.4835). A close below there would be a key bearish sign, targeting an extension toward the mid 1.42 area”. They also said the EURUSD is sitting on a the cusp of making a rather bearish signal with key long term support just above 1.2800. “Whether we see a rebound in these pairs in the coming days relies on the USD side of the equation, where tomorrow’s FOMC minutes and Bernanke’s speech should be a deciding factor”.
“That’s pressed GBPUSD to a marginal new low in the June/July trend, but importantly the March low has so far held (1.4835). A close below there would be a key bearish sign, targeting an extension toward the mid 1.42 area”. They also said the EURUSD is sitting on a the cusp of making a rather bearish signal with key long term support just above 1.2800. “Whether we see a rebound in these pairs in the coming days relies on the USD side of the equation, where tomorrow’s FOMC minutes and Bernanke’s speech should be a deciding factor”.