Key Indicators to Keep In Mind While Trading in Sterling
Today U.K. has scheduled to release various key economic indicators at 0700 GMT/1230 IST. They are U.S. Prelim GDP, GDP, Industrial Production, Manufacturing Production and U.K.’s Trade Balance results. Prelim GDP is the broadest measure of economic activity and the primary gauge of the economy’s health. Production result is a leading indicator of economic health – production reacts quickly to ups and downs in the business cycle and is correlated with consumer conditions such as employment levels and earnings.
Let’s see how GBP has reacted during the previous data release:
- The sterling trades flat ahead of U.K. Prelim GDP Data and hovers around $1.3400 mark.
- Today pair made intraday high at $1.3419 and low at $1.3392 mark.
- A day chart and H1 chart with triple EMA suggest down trend for the time being.
- A sustained close above $1.3437 on H1 chart will check key resistances.
- Alternatively, a consistent close below $1.3390 will check further supports.
Take a look and do trade wisely!