Sterling Digest: January 26, 2012

• faithmight
• January 26th, 2012

As currency traders, keeping tabs on central banks is so important. The contrast in central banks generally helps dictate price action and long term trends. Yesterday’s digest focused on the Bank of England as the $GBPUSD looked like exhaustion would take price lower. But what a difference a Fed makes!  After the Federal Reserve interest rate announcement, the $GBPUSD firmed for the 8th consecutive day to new highs as the USD weakened significantly across the board. Now in today’s session, the rally continues but may have finally hit a level, 1.5700, where we can see a pullback on profit-taking after a great week for bulls.

• GBP/CHF: Selling Short-Term Bounces (FX360)
• EURGBP Update (50′s Blog)
• CBI: UK Jan Retail Sales Plunge After Strong Dec (Forex Live)
• David Cameron urges European leaders to ‘be bolder’ (BBC) [video]
• FOMC: low rates will continue (Reuters) [video]
• FOMC Voters 2012 Dove Hawk Scale (KathyLien.com)
• RBNZ Holds OCR at 2.50%, Signals No Change (Central Bank News)
• What are Central Banks Expected to do in 2012? (KathyLien.com)

Image credit

The information in this blog post represents my own opinions and does not contain a recommendation for any particular security or investment. I or my affiliates may hold positions or other interests in securities mentioned in the Blog, please see my Disclaimer page for my full disclaimer.

Tickers: EURGBP, FXB, GBPCHF, gbpnzd, GBPUSD

blog comments powered by Disqus