UK GDP data
- UK GDP (q / q), fact 0.2%, forecast 0.1%.
- UK GDP (y / y), fact 1.2%, forecast 1.2%
- Business investment in the UK (q / q), fact -0.4%, forecast -0.2%
- The current account of the balance of payments of Great Britain, fact -17.7V, forecast -8.0V.
UK GDP dynamics unexpectedly accelerated in June after a two-month decline. In the end, this may indicate a slowdown in downward dynamics in the UK economy. An additional positive factor supporting the pound was a reduction in the current account deficit, which continues to decline steadily.
Fig. 1. UK GDP (q / q)
As a result, the British pound received significant support against its main competitors, but it is especially worth noting the US dollar and the Japanese yen, which are prone to decline. At the same time, the further growth of the GBP / USD pair is possible after a restrained correction and further decline in the dollar. A significant resistance zone is the level of 1.3170-1.3200, near which there is an upper boundary of the upward channel.
Fig. 2. GBP / USD Graph. Current price – 1.3160
Read also: “Cross rate trading. Features »
Hanzenko Anton