Forex Marketz Daily Forex News – Fully Markets Update
The GBP/USD currency exchange rate, on the above daily MT 4 chat, has risen higher over the past week. The British pound (GBP) has taken advantage of the overall weakness seen with the U.S. dollar (USD).
On the economic calendar for Monday, it is all about manufacturing purchasing managers’ indices (PMI) throughout the Continent and the United States. Markit is releasing monthly manufacturing purchasing managers’ index for the United Kingdom. This will have an impact on price volatility for the British pound.
On the U.S economic calendar, for today, the Institute for Supply Management (ISM) will release monthly manufacturing purchasing managers’ index data. Forex traders will watch the forward looking employment sun-section of the ISM PMI closely.
Also on the American calendar, the private firm Markit will publish their manufacturing purchasing managers’ index. Monthly trade data is also on the calendar.
The European Union will also publish PMI data today. Italy, Spain and Germany will all see monthly private Markit manufacturing purchasing managers’ index data.
Daily British Pound Technical Analysis (GBP/USD)
Looking at the above GBP/USD price chart, the British pound is looking overbought at this price level. The relative strength index (RSI) is flashing overbought as it is above seventy (70). This indicates a possible correction in store for the GBP/USD Forex market.
This Forex market is also well above a long term downward sloping trend line and well above the fifty, one hundred and two hundred (50, 100, 200) day moving averages.
There is technical support lining up at 1.3015 followed by the February high price point that lines up at 1.3065. The June high price point at 1.2815 then comes into play with the next downside barrier lining up at 1.2770. Other layer of technical support to monitor, in this scenario, would then line up at 1.27, 1.2660, and 1.2540.
On the upside, the recent swing high price point at 1.3145 would be the first layer technical resistance to watch. The next upside barrier comes into play at 1.32 then 1.3270. Other upside barrier line up at 1.3390 then at 1.3510.
