On Wednesday (September 14) in the European market, the GBP/USD quickly rebounded above the 1.5800 mark and the current exchange rate fluctuates around 1.5800.

In the European time, Moody's downgraded the French Industrial Bank's debt and deposit rating from Aa2 to Aa3, and listed the long-term debt rating as negative; in addition, France Rural Credit Bank's long-term debt rating and deposit rating were lowered from Aa1 to Aa2; Moody's maintained BNP Paribas Aa2 rating, but still put the bank under observation. After the news of the downgrade of the Bank of France, the market sentiment was further suppressed. GBP/USD thus further extended its decline and hit an eight-month low of 1.5705.

However, due to the speech of the European Commission Executive Chairman Jose Manuel Barroso, the options for common bond in the euro area will soon be put in place, and a tranquilizer will be injected into the market. The European stock market rebounded higher and boosted. Risk currency pound; at the same time, the National Bureau of Statistics announced that the number of unemployed applicants in August increased by 20,300 to 1,580,900, which is better than economists expected to increase by 35,000, which also provided support for the pound.

Analysts said that the current pound/dollar has risen to around the 1.5790 level, the initial resistance at the top is located at the September 12 high of 1.5885, and the stronger resistance is expected to be at the psychological level of 1.6000. After breaking above this level, it will explore the September 8 high of 1.6085. .

Looking from the downside, the preliminary support is at the 1.5700 mark. After this level is broken, it will test the January 2 high of 1.5665 and once again fall below the target of 1.5610.

EcPulse. Com's analysis team pointed out that from the current exchange rate trend, the pound/dollar is completing the first step since the establishment of the 1.4225 double-top form, the market outlook GBP/USD is still biased downwards, 1.5720 is its key support below, effectively falling below this level Afterwards, the pound/dollar fall is expected to accelerate.

Litigation Law Firm

Litigation Law Firm,Top Rank Litigation Law Firm,Professional Litigation Law Firm,Professional Litigation Arbitration Law Firm

LAW OFFICES OF LCY , https://www.cnbizlawoffice.com