FxWirePro: GBP/USD slightly declined after UK GDP, good to buy above 1.3380
Cable hits 1- ½ month high at 1.3369 after dovish Fed minutes meeting. The Fed minutes meeting shows that economy is growing strong and is operating above full employment. But decline in inflation is cause of concern and…
Cable hits 1- ½ month high at 1.3369 after dovish Fed minutes meeting. The Fed minutes meeting shows that economy is growing strong and is operating above full employment. But decline in inflation is cause of concern and any ongoing tightening will push the inflation further down. This reduce the chance of more than three hikes in 2018.
UK GDP revised GDP at 0.4% compared to forecast of 0.4%. UK economy growth was steady supported by increase in household spending fastest pace in 12 months. But business investment slow as result of Brexit and construction fell for the second quarter.
The pair is consolidating after breaking 1.3300 level. Any break above 1.3380 will take the pair to next level till 1.3400/1.3500. Short term bullish invalidation only below 1.30280.
On the lower side, near term support is around 1.32300 and any break below will drag the pair to next level till 1.3175/1.3130/1.3100/1.3060/1.30270.
It is good to buy on dips around 1.3230 with SL around 1.3170 for the TP of 1.3300/1.3380.
