FXstreet.com (CÃ³rdoba) - GPB/USD rose to 1.6686 posting a fresh one-month high. The pair then pulled back to the 1.6650 zone. The next support is located at 1.6585. Cable is rising against the Dollar for the third consecutive day, accumulating an increase of more than 350 pips. Current price at 1.6655/59 is 0.65% above today's opening price.
The FastBrokers Research Team afirms: The Halifax number is a bit surprising since Britain's housing data has been stellar lately. Investors may take more notice if we receive another setback in housing data in the near future. Focus will return to the East tonight with China set to release a flood of economic data including Industrial Production. Therefore, the FX markets should remain volatile over the remainder of the week since the longevity of the growth story in China has been brought into question lately. Since China has been leading the charge of the global economic recovery, any setback in China's economic data late Thursday PST could place some downward pressure on the Cable. However, since the Cable and EUR/USD experienced technical breakouts on Tuesday, we believe China's economic data will likely come in ahead of expectations and help fuel the GBP/USD's rally.
Against the Euro, the Pound is rising for the first time in the week. EUR/GBP rebounded at 0.8825 and tumbled to 0.8730. The pair is still moving inside a big range with support at 0.8700 and resistance at 0.8840.