Forex Marketz Daily Forex News – Fully Markets Update
The sentiment linked British pound has seen gains for three days in a row against the U.S. dollar. Currently the benchmark GBP/USD currency exchange rate is trading in a narrow 20 pip range as the morning Asian trade session is underway.
British Prime Minister Boris Johnson has just announced that all Covid-19 restrictions in the United Kingdom will end 19 July. Germany will also start letting vaccinated tourists from the UK. Germany will also let tourists in from Russia and Portugal.
The British pound is reacting well to news that as of 19 July, the United Kingdom will lift all remaining coronavirus pandemic (Covid-19) restrictions despite the rapidly spreading Delta Covid-19 variant. This has turned on the risk-on sentiment in the global financial markets.
Looking at the economic calendar, the United Kingdom will release their monthly construction purchasing managers’ index (PMI). The United States will publish their monthly final services purchasing managers’ index. The euro area is releasing ZEW surveys.
The private ZEW economic research institute will publish key consumer sentiment surveys for the European Union’s largest economy, Germany, as well as for the Eurozone. The euro area is also publishing monthly retail sales data and Germany will publish monthly factory orders.
In the Asian and Pacific Rim, Tuesday night into Wednesday, Japan will release monthly leading indicators and AIG will publish the Australian services index.
Daily British Pound Technical Analysis (GBP/USD)
Looking at the above daily MT 4 price action chart, the GBP/USD Forex market is still trading below the three week old falling trend line as well as the one hundred (100) day simple moving average (SMA).
The British pound has technical resistance in play at the 100 day simple moving average at 1.3950. The next upside barrier is in play at the late June swing high price point and key psychological level at 1.40.
On the downside, the first layer of technical support former resistance at 1.3810. The next downside barrier is in play at the 21 June low price point at 1.3785 before 1.3730 comes into focus.
