|Day's Range||1.329 - 1.339|
|52 Week Range||1.2591 - 1.4377|
The British pound fell during the week, slicing through and uptrend line against the greenback, showing signs of extreme negativity now. I think that the market will ultimately find sellers again, and that we could turn things around to see a complete change in trend.
The British pound fell against the US dollar on the Friday session as we continue to see US dollar strength. I think that the US dollar strength is something that we should continue see over the summer as interest rates rise, and of course the US economy seems to be outperforming most other ones.
Investing.com – The U.S. dollar rose to a sixth-month high as mostly positive U.S. durable goods data suggested the U.S. economy was strong enough to sustain further Fed rate hikes.
The U.S. dollar strengthened against most of its main rivals Friday in New York, as a popular gauge of the currency hit a fresh 2018 high, and as traders digested a week in which the Federal Reserve signaled that it may adopt a more measured approach to hiking interest rates even if inflation runs ahead of its 2% annual target. An escalation of tensions between the U.S. and North Korea, which appeared to ease somewhat early in the session, and trade talks with Washington and Beijing contributed to a week marked by up-and-down trade. The ICE U.S. Dollar Index (IFUS:DX-Y.NYB), which gauges the U.S. unit against a half-dozen currencies, was up 0.5% at 94.197, headed for 0.6% return on the week.
On Friday North Korean leader Kim Jong Un said he was still open to talks after the White House said in a statement that it would be "inappropriate" to have a planned summit at this time. Trump and Kim Jong Un were set to meet in Singapore on June 12 to discuss possible denuclearization. Durable goods in the U.S. fell 1.7% in April, compared to expectations of a 1.4% decrease while a separate report showed that the University of Michigan Consumer Sentiment index was revised down to 98.0 from 98.8.
The greenback was flat on Friday while the pound inched down as investors looked ahead to testimony from Fed Chair Jerome Powell and Bank of England Governor Mark Carney. Both Federal Reserve Chairman Jerome Powell and BOE Governor Mark Carney are expected to participate in a panel discussion of "Financial Stability and Central Bank Transparency" at the "Sveriges Riskbank Conference: 350 Years of Central Banking - The Past, The Present and The Future" in Stockholm, Sweden at 9:15 AM ET (13:15 GMT). The dollar was also held back by Fed meeting notes on Wednesday that suggested that while another interest rate hike is warranted, the central bank would accept inflation rising above its target rate for a while.
The Euro has rallied a bit during the Thursday’s session against dollar using 1.17 level as support. The pair moved slightly higher during the yesterday’s session reaching towards the 1.34 level. The pair traded on a quiet note and hanged around the 0.7550 level during the yesterday’s session.
The British pound rallied a bit during the day on Thursday, and a rare sight of strength as we have broken down against the US dollar in almost every currency pair that I follow. The market is approaching a major resistance barrier though, so I think we will get a selling opportunity sooner rather than later.
Traders also booked profits on the notion that the recent rally had run its course especially after the release of dovish Fed minutes on Thursday that signaled the central bank would not be as aggressive when raising interest rates in 2018.
Investing.com – The dollar was hit by a fresh wave of selling Thursday, losing ground against its rivals following negative U.S. data showing a slowdown in the U.S. housing and labor market.
The greenback remained lower on Thursday after an unexpected dovish-tone in the latest Federal Reserve meeting minutes and news that the White House had called off a planned summit with North Korea. The White House said in a statement that it would be "inappropriate" to have a planned summit at this time. Trump and North Korea leader Kim Jong Un were set to meet in Singapore on June 12 to discuss possible denuclearization.
With the month-long symmetrical triangle restricting the EURGBP moves between 0.8720 & 0.8800, chances of the pair’s recent pullback to test 0.8720 support and take a U-turn from there are higher. GBPJPY’s break of nine-month old ascending trend-line signals the pair’s further downside to the 144.95-145.15 rest-zone but its additional south-run can be confined by oversold RSI, which if ignored can drag the pair to 143.00 support.
Investing.com - Sterling was higher on Thursday after UK retail sales came in higher than expected, boosting confidence in the economy.UK retail sales rose 1.6% in April, compared to expectations for a 0.1% gain, the Office for National Statistics reported. The unexpected increase indicates consumer confidence in the UK economy, despite political uncertainty surrounding Brexit.GBP/USD surged 0.46% to a one-day high of 1.3410 as of 4:43 AM ET (8:43 GMT).The euro was also higher, but was held back by economic and political worries in Europe. ...
The market continued to remain weak and negative during the Wednesday’s session breaking below the 1.17 level. By going below this level, the market is more likely to fall towards its next major support level at 1.15 level underneath. Short-term rallies in the market will be an excellent opportunity to sell this market as it offers value in the USD. …Read MoreGBP/USD
The British pound broke down significantly during the day on Wednesday, slicing below the 1.34 level, and driving much lower as well. I believe that the market does continue to go much lower than that, and I think at this point it’s very likely that rallies will invite more selling, as the pair simply cannot find its footing and we have broken down below a major trend line recently.
Investing.com – The dollar remained at six month highs against its rivals on Wednesday following mostly bullish data pointing to underlying strength in the U.S. economy, while a sharp decline in both the pound and euro supported upside momentum.
The greenback rose to a five month high on Wednesday, as investors look ahead to the latest meeting minutes from the Federal Reserve. Investors will be looking to the Fed meeting minutes at 2:00 PM ET (18:00 GMT) closely for any signs of tightening monetary policy. A recent increase in bond yields, along with positive economic data and rising inflation, has boosted expectations that the Federal Reserve will increase interest rates and tighten monetary policy.
The dollar climbed against most of its rivals early Wednesday, but lost ground vs. the yen as geopolitical worries spurred buying in Japan’s haven currency. Victor Reklaitis is a London-based markets writer for MarketWatch.