Strategistst racing to downgrade forecasts for Sterling

GBP/USD Daily Forecast – 18 January

Sterling was pushed significantly lower in the course of the Friday's session, going even below 1.43 handle, though there were no major data releases from the UK and despite weaker than expected US figures. Pair also finished the session and closed the week near new lowest levels which is of course quite negative sign and with that being the case we believe that pair is now heading towards 1.40 handle, on a long-term basis. We have no interest in buying this pair at the moment. Read more...

GBP/USD Weekly Forecast – 18 January – 22 January

Sterling was pushed significantly lower in the course of the last week, all the way to below 1.43 handle, which is of course sign of a serious downtrend in the pair. Decline was mostly caused due to dovish stanzas coming from BoE recently as well as concerns surrounding possible Brexit. As for next week markets will be focused on UK CPI and job figures. Read more...

GBP/USD Daily Forecast – 18 January

On Friday, only minor importance UK Construction Output data was published. In November 2015, output in the construction industry was estimated to have decreased by 0.5% compared with October 2015. Analysts were anticipating 0.5% increase. All new work was the largest contributor to the fall, decreasing by 0.7%, with repair and maintenance (R&M) falling 0.2%. Compared with November 2014, output in the construction industry decreased by 1.1%. All new work increased by 1.3% while there was a fall of 5.1% in repair and maintenance. The main upwards contribution to all new work came from infrastructure which increased by 11.7%. Read more...