Pound Attempting Further Recovery in Consolidations Markets
| Action Insight Mid-Day Report 9-28-22 |
Pound Attempting Further Recovery in Consolidations Markets |
The forex markets are generally in consolidation mode today. Risk sentiment is slightly on the off side, but there is no serious selloff in stocks. Treasury yields in US, Germany and UK are trading mildly higher, giving Yen a little pressure. But commodity currencies are the weaker ones. On the other hand, Dollar is firmer together with Euro and Sterling. Technically, Sterling is trying to extend recovery again today, but upside is so far very limited. Some attention will be on 1.0794 minor resistance in GBP/CHF. Break there would extend the rebound from 1.0183 towards 1.1146 key near term resistance. If happens, that could be an early signal for stronger rise in the Pound against Euro and Yen, and possibly Dollar too. In Europe, at the time of writing, FTSE is down -1.27%. DAX is down -1/.53%. CAC is down -1.37%. Germany 10-year yield is up 0.0109 at 2.230. UK 10-year gilt yield is up 0.117 at 4.130. Earlier in Asia, Nikkei rose 0.95%. Hong Kong HSI dropped -0.49%. China Shanghai SSE dropped -0.13%. Singapore Strait Times dropped -0.04%. Japan 10-year Jiggled rose 0.0079 to 0.249. |
GBP/USD Mid-Day Outlook Daily Pivots: (S1) 1.0648; (P) 1.0782; (R1) 1.1023; More... Intraday bias in GBP/USD stays neutral for the moment, as recovery from 1.0351 is extending. While stronger recovery cannot be ruled out, upside should be limited by 4 hour 55 EMA (now at 1.1017). On the downside, break of 1.0351 will resume larger down trend towards parity next. Nevertheless, sustained trading above 4 hour 55 EMA will bring stronger rebound towards 1.1404 support turned resistance. | |
| GMT | Ccy | Events | Actual | Forecast | Previous | Revised |
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| 09:00 | EUR | Eurozone Economic Sentiment Indicator Sep | 93.7 | 95 | 97.6 | 97.3 | | 09:00 | EUR | Eurozone Industrial Confidence Sep | -0.4 | -1 | 1.2 | 1 | | 09:00 | EUR | Eurozone Services Sentiment Sep | 4.9 | 7 | 8.7 | 8.1 | | 09:00 | EUR | Eurozone Consumer Confidence Sep F | -28.8 | -28.8 | -28.8 | | 12:00 | EUR | Germany CPI M/M Sep P | 1.90% | 1.60% | 0.30% | | 12:00 | EUR | Germany CPI Y/Y Sep P | 10.00% | 9.50% | 7.90% | | 12:30 | CAD | GDP M/M Jul | 0.10% | -0.10% | 0.10% | | 12:30 | USD | Initial Jobless Claims (Sep 23) | 193K | 213K | 213K | 209K | | 12:30 | USD | GDP Annualized Q2 F | -0.60% | -0.60% | -0.60% | | 12:30 | USD | GDP Price Index Q2 F | 9.00% | 8.90% | 8.90% | | 14:30 | USD | Natural Gas Storage | 93B | 103B |
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