Sterling Strengthens ahead of U.K.’s Key Economic Indicators, 25+ PIP Volatility likely in GBP Parity; June 11, 2021
U.K. GDP & many more indicators…
Today U.K. has scheduled to release GDP data, goods trade balance, manufacturing production as well as Industrial production data at 0600 GMT/1130 IST. As many indicators are releasing at the same time, mixed data may cause volatility in the sterling parity. GDP is the broadest measure of economic activity and the primary gauge of the economy’s health. On the other side, Production indicators are leading indicators of economic health – production reacts quickly to ups and downs in the business cycle and is correlated with consumer conditions such as employment levels and earnings. Lastly, positive number of trade balance data indicates that more goods were exported than imported.
Let’s see how GBP has reacted during the previous data release:
- The sterling appreciates on Friday ahead of key economic indicators.
- The pair made intraday high at $1.4179 and low at $1.4157 mark.
- A day chart and H1 chart with triple EMA suggests bullish trend for the time being.
- A sustained close above $1.4188 on H1 chart will check key resistances.
- Alternatively, a consistent close below $1.4150 will check further supports.
Take a look and do trade wisely!