US ($) Currency Thread 2

inspector_monkfish

15:12 19Jun09 GBP/USD: Weighed Down by Pre-Weekend Profit-Taking

[14:12 GBP/USD: Weighed Down by Pre-Weekend Profit-Taking] London, June 19.

A bout of pre-weekend profit-taking on long GBP positions has helped depress cable to European afternoon/NY session lows circa 1.6400. Buy stops above 1.6400 were tripped during the London morning, with 1.6480 offers keeping a lid on the ascent extension earlier this afternoon (BST). 1.6381 (today"s Asian session top) is a sub-figure support point. 1.6303 was today"s Asian session base. 1.6187 was yesterday"s 9-day low.

Please see our earlier comment timed 13:01GMT for a list of next week"s UK event risks including Wednesday"s disclosure of June"s CBI retail sales balance and the same-day testimony to the TSC from five MPC members, including BoE Governor Mervyn King.

inspector_monkfish

and back up to finish the week around 1.6460

inspector_monkfish

...make that 1.6560

inspector_monkfish

16:54 19Jun09 GBP/USD: Cable Driving High On USD Issues, Possibly Stops

[15:53 GBP/USD: Cable Driving High On USD Issues, Possibly Stops] Boston, June 19th.

The earlier reported end of week profit taking by European cable traders seems not to have done any permanent damage. The market has rebounded very well from the dip below 1.6400 those sellers caused. The result is that we"re back in the area of the highs where the market has stalled out all week. Note that we were hearing of stops at 1.6480, and potentially more at 1.6500. The way the market has taken out the former and driven up through the latter suggests there indeed were stops still active. Watch for a potential retrace once that action plays itself out. The subsequent move (or lack of a retrace) will tell us a great deal about the underlying strength of the market.

Of course now is also the time when USD considerations start to dominate the action. We can see that happening in the fact that cable is making new highs, but the crosses are holding relatively steady. The dollar has taken a tumble in the last little while in line with a sell-off in Treasuries aided by Moody"s putting California on negative credit watch. Stocks so far haven"t reacted much. Watch what they do, in particular if they make for new highs. That would probably serve to exacerbate the USD selling, helping to drive cable higher.

inspector_monkfish

1.6540 trading now

DickyP_2

Found this thread lurking down the bottom of page two!!!

Wheres the love gone, currently 1.6414

inspector_monkfish

Morning all
cable trading at 1.65

creeping back up from this mornings low of 1.64

inspector_monkfish

...and back down to 1.4650 now....

jackieblack

inspector_monkfish wrote: »

...and back down to 1.4650 now....

:eek::eek: what?????!!!!! :eek::eek:

What's happened to cause that?????!!!! :mad:

Fullartj

Hi I am thinking of going to the States in September for 2 weeks. I work in London but I get paid in Euros and I was wondering which would be better to bring Pounds or Euros???
Any advice would be most grateful.