Here is a summary of what some experts are saying about the GBP/USD and the GBP and USD singularly.
- In his “Chart of the Day” report, James Chen (Chief Technical Strategist at FX Solutions) states, “Currently, GDP/USD continues to carry a bearish bias.” Chen views the 1.5350 region as a key support area. In fact, there is a continued bounce during the Asian session.
- FxStreet.com perceives the GBP/USD trend as” slightly bullish.” The GBP/USD’s positive correlation to the EUR/USD on 8/25/10 (22:45GMT) is 86.32%.
- Bradley Gareiss (technical analyst for Global Forex Trading) views the GBP/USD trend as neutral. He doesn’t advocate a GBP/USD trade presently.
- Fundamentally, Brian Dolan (Chief Currency Strategist for GAIN Capital) views the USD as a “safe haven currency” at present. Because of increased risk aversion and “the major markets re-pricing a slower growth outlook,” Dolan expects “USD strength to continue.”
- An International Business Times article is titled “Britain faces risk of second recession: BoE member.” If this happens, it could fundamentally have a negative impact on the GBP.
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