The British Pound (GBP) is slightly weaker on the session, but, like the EUR, trading has remained comfortably within its recent trading range, notes Shaun Osbornechief FX strategist at Scotiabank.
GBP may struggle to break above 1.2780/1.2810
“Attention in the UK this week is largely focused on Wednesday’s inflation data. Prices are likely to rise on a year-on-year basis and look a bit persistent on other measures. Services inflation is expected to slow only marginally to 5.5% year-on-year. Elevated prices should reinforce prospects for cautious BoE policy easing going forward and help bolster support for GBP on dips.”
“Price action remains constructive for GBP after the pound formed a clear bullish reversal (“morning star” pattern) on the daily candlestick chart last week. Progress is slow but gains have broken the downtrend in place since mid-July. Support at 1.2725/30. Gains through the 1.2780/1.2810 resistance band should see GBP’s bounce extend to the upper 1.28 zone.”
Source: Fx Street
I am Joshua Winder, a senior-level journalist and editor at World Stock Market. I specialize in covering news related to the stock market and economic trends. With more than 8 years of experience in this field, I have become an expert in financial reporting.
