The day before yesterday GBP/USD currency pair made a little pause after the great decline last week and during the trading session on February 03. Having set below pivot MF 1.6324, the currency has failed to go backwards within 24 hours. Pound sterling has returned only by 85 points up against US dollar.
Daily results of the currency pair have been made by the Analytics Team of the “Market Leader” jointly with the experts of the best Forex studying project in 2009-2013 Masterforex-V Academy and analysts of Forex Trend broker company.
Factors that Make Pound Sterling Move Against US Dollar
In the expectation of positive macroeconomic news pound sterling has slightly raised its value. Construction activity in Britain has unexpectedly gained considerable momentum in January, having thus reached the maximum since the time of financial crisis on Tuesday.
As informed by Forex Trend, in January construction of PMI has risen by 64.6 in comparison to December result of 62.1, which was the highest increase in construction activity of Britain since August 2007, when financial crisis first started tempting Great Britain into a trap.
The figure has considerably exceeded the expectations of economists, namely, 61.5, as stated in Reuters questionnaire. It has, thus, gone over 50, which separated growth from reduction.
Against positive news the British currency has tried to get over 1.6434, but failed to reach the point during a trading session.
Soon the hopes of the pound to eventually get over the indicated point have been absolutely ruined by issued release on US economy.
Production orders for US goods have dropped by 1.5% in December, as informed by US Ministry of Agriculture. Economists, questioned by MarketWatch, were expecting orders to drop by 2%, thus pulling down the initial assessment of 1.8 % growth in November, as well as the decline of orders for durable goods. Yesterday the government reconsidered growth of November orders to 1.5%. December orders for durable goods (goods that can be stored for over three years) – have dropped by 4.2%, and for non-durable goods – increased to 1.1%.
As supposed by the Analytics Team of Masterforex-V Academy, these are the reasons of recent move of pound sterling exchange rate.
GBP/USD currency pair is currently traded at about 1.6330, which is an obstacle for upward movement. The currency is within the third down wave on Н4 chart. Its price has reached 200% of the first wave and 23 % of correction within Fibonacci net and pivot MF break.
