GBP/USD Daily Forecast – 11 January

Sterling continued its downtrend in the course of the Friday's session, breaking once again below 1.46 handle and testing 1.45 handle as a support, especially after much better than forecasted NFP figures. By doing this pair reached 1.45 handle which was our long-term target.

GBP/USD Weekly Forecast – 11 January – 15 January

Sterling was pushed lower in the course of the last week, testing 1.45 handle and even with a weekly closing around this area, which indicates serious bearish pressure in the pair. Ever since pair broke below 1.49 handle, pair is going downtrend, with initial target at 1.45 handle. As for next week, we would pay attention to US data and UK Industrial Production figures. Read more...

GBP/USD Daily Forecast – 11 January

Friday brought UK Trade Balance data. The UK’s deficit on trade in goods and services was estimated to have been £3.2 billion in November 2015, a narrowing of £0.3 billion from October 2015. The narrowing is attributed to trade in goods where the deficit has narrowed from £11.2 billion in October 2015, to £10.6 billion in November 2015. This was in line with market forecasts. Between October 2015 and November 2015, the trade in goods narrowing was mainly the result of a fall in the import of goods of £0.9 billion to £33.9 billion. The narrowing is mainly attributed to a fall in imports of oil which decreased by £0.5 billion to £2.2 billion.

GBP/USD Weekly Forecast – 11 January – 15 January

Events that marked the week:

Monday's session brought UK Manufacturing PMI data. The end of 2015 saw the rate of growth in the UK manufacturing sector slow further from the recent peak reached in October. At 51.9 in December, the seasonally adjusted Markit/CIPS Purchasing Manager’s Index slipped back towards its long-run survey average of 51.5. Analysts were expecting slight incline to 52.8. Over the final quarter as a whole, the average readings for the headline PMI, Output Index, New Orders Index, New Export Orders Index and Employment Index were all above their respective averages. However, averages over 2015 were in each case below those achieved in 2014.