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SpanishSterling Moves in Narrow Range Ahead of U.K.’s CPI data, 30+ PIP Volatility Likely in GBP Parity; Dec 15, 2021
U.K. CPI & Core CPI Data
Today U.K. has scheduled release CPI and Core CPI data at 0700 GMT/1230 IST. This is considered the UK’s most important inflation data because it’s used as the central bank’s inflation target. Consumer prices account for a majority of overall inflation. Inflation is important to currency valuation because rising prices lead the Central Bank to raise interest rates out of respect for their inflation containment mandate. Here the average price of various goods and services are sampled and then compared to the sampling done a year earlier.
Let’s see how GBP has reacted during the previous data release:
Nov 17:
Oct 20:
Technical View:
GBP/USD:
- The sterling moves in rigid boundaries ahead of U.K.’s CPI data and trading around $1.3250 mark.
- Today pair made intraday high at $1.3239 and low at $1.3222 mark.
- A day chart is down and H1 chart with triple EMA suggests up trend for the time being.
- A sustained close above $1.3251 on H1 chart will check key resistances.
- Alternatively, a consistent close below $1.3212 will check further supports.
| SUPPORTS | RESISTANCES |
| $1.3212 | $1.3251 |
| $1.3186 | $1.3278 |
| $1.3165 | $1.3299 |
| $1.3150 | $1.3315 |
| $1.3126 | $1.3340 |
Take a look and do trade wisely!
Good Luck
TP Global FX Research Team
With a decade of Forex Market insight, TP Global FX Research Team delivers you the Market Insight that boosts your Trading Skills