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Yesterday’s trade saw GBP/USD within the range of 1.4120-1.4282. The pair closed at 1.4259, surging 0.92% on a daily basis. It has been the 28th gain in the past 61 trading days. The daily high has been the highest level since March 22nd, when a high of 1.4398 was recorded. GBP/USD has gained 2.23% so far during the current month.

At 6:15 GMT today GBP/USD was edging down 0.20% for the day to trade at 1.4230. The pair touched a daily low at 1.4219 at 5:47 GMT, undershooting the range support level (R3), and a daily high at 1.4268 during the early phase of the Asian trading session.

On Tuesday GBP/USD trading may be influenced by the following macroeconomic reports and other events as listed below.

Fundamentals

United States

S&P/Case-Shiller Home Price Index

At 13:00 GMT Standard & Poors will report on the performance of its House Price Index, which measures the change in prices of single-family homes in 20 metropolitan areas across the US. The report serves as a gauge of the US housing markets health. According to the median estimate by experts, home prices in the 20 areas probably rose 5.9% in January compared to January 2015, following a 5.7% surge in December. If expectations were met, Januarys rate of increase would be the sharpest one since July 2014, when home prices climbed 6.7% year-on-year. Within a recovering economy, a sharper-than-projected gain in prices will usually have a moderate bullish effect on the local currency.

Consumer Confidence Index by the CB

Confidence among consumers in the United States probably rebounded in March, with the corresponding index coming in at a reading of 94.0, according to market expectations. In February the gauge was reported at 92.2, or the lowest since July 2015.

This indicator measures the level of individuals confidence in the US economic development. It is considered as a leading indicator, as it gives an early insight into consumer spending, which accounts for a major part of the nations GDP.

In case the index came above expectations, this would have a strong bullish effect on the US dollar, as higher confidence suggests a greater willingness to spend and, respectively, an accelerated economic growth. The Conference Board research group is to publish the official index reading at 14:00 GMT.

Fed Yellens statement

At 16:30 GMT Federal Reserve Chair Janet Yellen is expected to take a statement. A moderate-to-high volatility of the currency pairs containing the US Dollar is usually expected during such events.

Daily and Weekly Pivot Levels

By employing the Camarilla calculation method, the daily pivot levels for GBP/USD are presented as follows:

R1 – 1.4274
R2 – 1.4289
R3 (range resistance) – 1.4304
R4 (range breakout) – 1.4348

S1 – 1.4244
S2 – 1.4229
S3 (range support) – 1.4214
S4 (range breakout) – 1.4170

By using the traditional method of calculation, the weekly pivot levels for GBP/USD are presented as follows:

Central Pivot Point – 1.4226
R1 – 1.4397
R2 – 1.4651
R3 – 1.4822

S1 – 1.3972
S2 – 1.3801
S3 – 1.3547

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