Jump to content

GBP/USD Remains Under Pressure Despite Robust UK PMI Headlines


Recommended Posts

GBP/USD PRICE, CHART, AND ANALYSIS

  • UK PMIs mixed to stronger but fears remain.
  • GBP/USD is unchanged as the US dollar remains in the driving seat.
 
British Pound Dollar Outlook: GBP/USD Remains Under Pressure at 1.3000

A robust set of UK PMI preliminary readings for March with the UK services sector, in particular, showing further improvement. The manufacturing number missed expectations, while the composite number beat forecast but failed to match last month’s number.

GBP/USD Remains Under Pressure Despite Robust UK PMI Headlines

For all market-moving economic data and events, refer to the DailyFX calendar

According to Chris Williamson, chief business economist at S&P global, ‘the outlook darkened as concerns over Russia's invasion exacerbated existing worries over soaring prices, supply chains and slowing economic growth. Business expectations are now at their lowest for almost one and a half years, pointing to a marked slowing in the pace of economic growth in coming months’. Mr. Williamson added that ‘prices pressures have spiked higher due to increased energy and commodity prices resulting from the invasion. With March seeing by far the largest rise in selling prices for goods and services ever recorded by the survey, consumer price inflation is set to rise further in the months ahead’.

Full UK PMI Release

The release had little effect on an already weak GBP/USD as the US dollar continues to drive action in the pair. Various Fed members spoke yesterday saying that the next interest rate hike in the US should be 50 basis points and not the standard 25 basis point rise, and called for the Fed to frontload rate hikes to try and quell rampant inflation.

GBP/USD is retesting short-term support around the 1.3160 level and may well look at the recent 1.3000 double-low again.

 

GBP/USD DAILY PRICE CHART – MARCH 24, 2022

GBP/USD Remains Under Pressure Despite Robust UK PMI Headlines

Retail trader data show 70.57% of traders are net-long with the ratio of traders long to short at 2.40 to 1. The number of traders net-long is 11.68% higher than yesterday and 1.77% lower from last week, while the number of traders net-short is 14.91% lower than yesterday and 14.68% higher from last week. We typically take a contrarian view to crowd sentiment, and the fact traders are net-long suggests GBP/USD prices may continue to fall.

Positioning is more net-long than yesterday but less net-long from last week. The combination of current sentiment and recent changes gives us a further mixed GBP/USD trading bias.

image.png

What is your view on GBP/USD – bullish or bearish?

 

Mar 24, 2022 |  DailyFX
Nick Cawley, Strategist

Link to comment

Create an account or sign in to comment

You need to be a member in order to leave a comment

Create an account

Sign up for a new account in our community. It's easy!

Register a new account

Sign in

Already have an account? Sign in here.

Sign In Now
  • image.png

  • Posts

    • ASX: NATIONAL AUSTRALIA BANK LIMITED - NAB   Elliott Elliott Wave Technical Analysis TradingLounge (1D Chart)   Greetings, Our Elliott Wave analysis today updates the Australian Stock Exchange (ASX) with NATIONAL AUSTRALIA BANK LIMITED - NAB . We determine that NAB will continue to push higher with wave iii-grey of wave (iii)-orange. We updated our Trade Recommendation (Long Trade with NAB) yesterday. NAB is opening up quite good profits in today's trading session.   ASX: NATIONAL AUSTRALIA BANK LIMITED - NAB   Elliott Wave Technical Analysis   ASX: NATIONAL AUSTRALIA BANK LIMITED - NAB   1D Chart (Semilog Scale) Analysis Function: Major trend (Minute degree, navy) Mode: Motive Structure: Impulse Position: Wave iii-grey of Wave (iii)-orange of Wave ((v))-navy Details: The short-term outlook suggests wave (iii)-orange is unfolding to push higher.   Invalidation point: 34.48   ASX: NATIONAL AUSTRALIA BANK LIMITED - NAB   Elliott Wave Technical Analysis TradingLounge (4-Hour Chart) ASX: NATIONAL AUSTRALIA BANK LIMITED - NAB   Elliott Wave Technical Analysis ASX: NATIONAL AUSTRALIA BANK LIMITED - NAB   4-Hour Chart Analysis Function: Major trend (Minuette degree, orange) Mode: Motive Structure: Impulse Position: Wave ((3))-navy of Wave iii-grey of Wave (iii)-orange Details: The short-term outlook shows that wave (iii)-orange is opening to push higher, it is subdividing into waves i,ii,iii-grey and waves ((1)),((2)),( (3))-navy. We updated our Trade Recommendation (Long Trade with NAB) yesterday. NAB is opening up quite good profits in today's trading session. Invalidation point: 34.83   Conclusion:   Our analysis, forecast of contextual trends, and short-term outlook for ASX: NATIONAL AUSTRALIA BANK LIMITED - NAB   aim to provide readers with insights into the current market trends and how to capitalize on them effectively. We offer specific price points that act as validation or invalidation signals for our wave count, enhancing the confidence in our perspective. By combining these factors, we strive to offer readers the most objective and professional perspective on market trends.   Technical Analyst: Hua (Shane) Cuong, CEWA-M (Master’s Designation). Source : Tradinglounge.com get trial here!  
    • Elliott Wave Analysis TradingLounge Daily Chart, ChainLink/ U.S. dollar(LINKUSD) LINKUSD Elliott Wave Technical Analysis Function: Counter Trend Mode: Corrective Structure: Double Corrective Position: Wave Y Direction Next higher Degrees: Wave ((II)) of Impulse Wave Cancel invalid Level: 8.498 Details: Wave (II) is equal to 61.8% of Wave (I) at 8.86 Level ChianLink/ U.S. dollar(LINKUSD)Trading Strategy: ChainLink overall is still in the period of correction. In the position of wave (II) with a double corrective pattern, the view is therefore for a short-term pullback before rising again in wave (III), waiting for the correction to complete to rejoin the uptrend. ChainLink/ U.S. dollar(LINKUSD)Technical Indicators: The price is below the MA200 indicating a downtrend, The Wave Oscillator is a Bearish Momentum.   Elliott Wave Analysis TradingLounge H4 Chart, ChainLink/ U.S. dollar(LINKUSD) LINKUSD Elliott Wave Technical Analysis Function: Counter Trend Mode: Corrective Structure: Double Corrective Position: Wave Y Direction Next higher Degrees: Wave ((II)) of Impulse Wave Cancel invalid Level: 8.498 Details: Wave (II) is equal to 61.8% of Wave (I) at 8.86 Level ChainLink/ U.S. dollar(LINKUSD)Trading Strategy: Chainlink overall is still in the period of correction. In the position of wave (II) with a double corrective pattern, the view is therefore for a short-term pullback before rising again in wave (III), waiting for the correction to complete to rejoin the uptrend. Chainlink/ U.S. dollar(LINKUSD)Technical Indicators: The price is below the MA200 indicating a downtrend, The Wave Oscillator is a Bearish Momentum.   Technical Analyst : Kittiampon Somboonsod Source : Tradinglounge.com get trial here!
    • All Those Token is FAKE The Moment The Token is Live For TRADE On The Exchanges The Price Goes Up Then You Buy At The Top Thinking The PRICE WILL Continue To Go Up And Then What Happen is immediately After You Hit The GREEN Button To Buy The PRICE Starts  GOING DOWN AND Never Back Up Again And You Loss You're Money Thanks What's Fake Token is .
×
×
  • Create New...
us