Forex Industry news:
According to the Federal Reserve Bank of New York’s latest Nowcasting Report, the U.S. economy is expected to expand by 1.3% in the second quarter and 1.2% in the third quarter of 2019.
“News from this week’s data releases decreased the nowcast for both quarters by 0.1 percentage point.,” NY Fed said.
“Negative surprises from housing data and the Advance Durable Goods Report accounted for most of the decrease.”
The greenback didn’t pay any attention to the data and the US Dollar Index was last down 0.14% on the day at 96.08.
GBP has been trading higher for almost whole London session but it found strong resistance at the price of 1.2730/ I did mention this strong resistance cluster yesterday. The strong rejection of the resistance is sign that there is no real buying for for the GBP, which may result with new down movement.
Red rectangle – Important resistance (1.2725)
Green rectangle- Support 1 (1.2666)
Green rectangle – Support 2 (1.2563)
GBP has been trading sideways in the well defined trading range between the price of 1.2725 (resistance) and 1.2666 (support). The price is at the resistance and you should watch for potential selling opportunities.IN the background, there is broken wedge pattern, which is important clue for me that sellers are still in control.
Sell zone – 1.2710-1.2730
Profit zone – 1.2666 – 1.2563