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30 Apr 2013
Forex Flash: Sterling finding high end of its new lower range - RBS
FXstreet.com (Barcelona) - After the losses accumulated during Q1, the Sterling has been able to recover some decent ground following the upbeat GDP data from last week, in which the UK avoided a triple dip recession.
In view of Greg Gibbs, strategist at RBS: "GBP has been consolidating recently, retracing over one-third of this losses, approaching its 50% Fibonacci retracement at around 1.56. It is back above the levels around 1.53 that were the series of lows in 2010/12, suggesting it has pulled out of its dive and now appears more stable."
However, "the gains come more by weakness in other majors than genuine signs of turn around in the UK; we may be close to the point where GBP finds the high end of its new lower range" Greg added.
In view of Greg Gibbs, strategist at RBS: "GBP has been consolidating recently, retracing over one-third of this losses, approaching its 50% Fibonacci retracement at around 1.56. It is back above the levels around 1.53 that were the series of lows in 2010/12, suggesting it has pulled out of its dive and now appears more stable."
However, "the gains come more by weakness in other majors than genuine signs of turn around in the UK; we may be close to the point where GBP finds the high end of its new lower range" Greg added.