FXStreet (Edinburgh) – In opinion of the research team at UOB Group, GBP/USD remains neutral in the short-term although a test of 1.4565 remains on the cards.

Key Quotes

“While we still maintain a neutral outlook for this pair, the corrective rebound is gaining momentum rapidly and the current up-move has scope to extend higher to test the major 1.4565 resistance”.

“Strong support is at 1.4240 and last Friday’s low of 1.4150 should not be threatened, at least not in the next few days”.

In opinion of the research team at UOB Group, GBP/USD remains neutral in the short-term although a test of 1.4565 remains on the cards…

(Market News Provided by FXstreet)

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FXStreet (Mumbai) – Spain’s unemployment change came in at 57.2k, lower than the estimated 71.2k but substantially higher than the -55.8k seen previously.The Unemployment Survey released by the Spanish Government shows the number of unemployed workers added during the previous month. It is a leading indicator for the Spanish economy. If the number is negative, it indicates an expansion within the labor market.

The number of unemployed people in Spain increased by 57.25 thousand, or by 1.4 percent month-on-month in January. 4.15 million people were out of work last month. Employment had dipped 55.79 thousand fall in December. Most unemploment was seen in the services sector given that post holiday season companies laid off seasonal staff.

Unemployment Change in Spain averaged 5.95 Thousand from 1960 until 2015. It reached an all time high of 461.01k in January 2001 and a record low of -127.25 Thousand in June 2013.

Spain’s unemployment change came in at 57.2k in January, lower than the estimated 71.2k but substantially higher than the -55.8k seen previously.The Unemployment Survey released by the Spanish Government shows the number of unemployed workers added during the previous month. It is a leading indicator for the Spanish economy. If the number is negative, it indicates an expansion within the labor market.

(Market News Provided by FXstreet)

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FXStreet (Edinburgh) – Sverre Holbek, Senior Analyst at Danske Bank, sees the cross could edge higher in the next periods.

Key Quotes

EUR/NOK edged higher on Monday despite January manufacturing coming out better than expected”.

“In addition, details were better than expected with new orders rising to 53.2. The PMI data alone suggest that the worst point for the Norwegian economy was in
Q3 15 but other indicators for private consumption are softening”.

“We believe that risks are skewed to the topside in EUR/NOK near term following the latest oil price rally. Our 1M and 3M EUR/NOK forecasts are 9.60”.

Sverre Holbek, Senior Analyst at Danske Bank, sees the cross could edge higher in the next periods…

(Market News Provided by FXstreet)

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FXStreet (Mumbai) – The GBP/USD pair gained almost 200-pips on Monday before stalling around 1.44 levels today. Sterling’s rally could be attributed to better-than-expected UK manufacturing PMI and a weak US personal spending and manufacturing PMI numbers. The immediate focus now is on the UK construction PMI.

Cable could extend Monday’s rally on upbeat construction PMI

Cable’s bullish break on charts has opened doors for a continuation of the corrective rally following a sharp fall in Dec-Jan period. The construction PMI, though least important when compared to other two-services and manufacturing – could be enough to help the GBP bulls chew through offers, if any, around yesterday’s high of 1.4445.

Construction activity had picked up in December following a drop to 7-month low in November largely due to a rise in rise in commercial building activity. The data due for release today is expected to show the pace of expansion in the activity slowed down marginally to 57.6 from Dec’s 57.8.

The manufacturing PMI released yesterday showed the pace of expansion in the activity ticked higher. Hence, there is also a likelihood that construction sector received a “positive rub-off” from the manufacturing sector. Thus, a slightly better-than-expected PMI should note come as a surprise.

In case the number is horribly weak, Sterling could weaken, however, the losses may not be significant since the bulls appear in control following a 200-pip rally on Monday.

GBP/USD Technical Levels

A break above the immediate resistance at 1.4445 (previous day’s high) would open doors for a rise to 1.4476 (strong resistance on the hourly chart), which if taken out could see the pair test 4516 (23.6% of 1.5930-1.4079). On the other hand, the pair could find immediate support at 1.4351 (23.6% of 1.5230-1.4079) could see the pair drop to 1.4324 (5-DMA). A break lower would expose 1.4292 (10-DMA).

The GBP/USD pair gained almost 200-pips on Monday before stalling around 1.44 levels today. Sterling’s rally could be attributed to better-than-expected UK manufacturing PMI and a weak US personal spending and manufacturing PMI numbers. The immediate focus now is on the UK construction PMI.

(Market News Provided by FXstreet)

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FXStreet (Edinburgh) – In view of Axel Rudolph, Senior Technical Analyst at Commerzbank, the pair could attempt a consolidative pattern in the near-term.

Key Quotes

USD/CHF has not sustained the move above the 1.0212/78.6% retracement and may need to consolidate further very near term”.

“Currently the 1.0295 and the 1.0328 recent highs remain in focus”.

“A close above this latter level will introduce scope to 1.0732 longer term, the 78.6% retracement of the move from 2010 to 2011”.

In view of Axel Rudolph, Senior Technical Analyst at Commerzbank, the pair could attempt a consolidative pattern in the near-term…

(Market News Provided by FXstreet)

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FXStreet (Edinburgh) – After a brief adventure to overnight highs near 1.0920, EUR/USD has now returned to the 1.0900 neighbourhood as the European session has just kicked in.

EUR/USD hinges on risk trends

Absent relevant releases in Euroland and the US economy, the risk trends will once again come to the fore as the exclusive drivers for the pair’s price action today. In the meantime, spot is up for the second session in a row, keeping alive the rebound from recent lows in the 1.0800 region.

EMU’s Producer Prices and Unemployment Rate are due later in the European morning, while IBD/TIPP index, Fed’s E.George’s speech and the API’s weekly report on oil stocks will be in the limelight across the pond.

EUR/USD levels to watch

The pair is now advancing 0.05% at 1.0900 facing the next resistance at 1.0969 (high Jan.28) followed by 1.1000 (psychological level) and then 1.1053 (200-day sma). On the other hand, a break below 1.0777 (post-ECB low Jan.21) would open the door to 1.0737 (38.2% Fibo of 1.0538-1.1059) and finally 1.0709 (low Jan.5).

After a brief adventure to overnight highs near 1.0920, EUR/USD has now returned to the 1.0900 neighbourhood as the European session has just kicked in…

(Market News Provided by FXstreet)

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