GBP: British Pound continues to grow in the thin market

At the Forex currency market the British Pound Sterling in traded upward today, continuing yesterday’s upswing.

Forex forecast: MACD indicator is in the negative area for the pair GBP/USD and resumed the decline, giving grounds for a pair sell signal. Stochastic oscillator is giving an antipodal signal, being in the neutral zone.

Forex recommendations: off the market.

Feasible event scenario at Forex: in case of breakdown at the level of 1.5520 the pair will go to 1.5550 and 1.5570. If, however, the level of 1.5500 is broken down, traders’ targets will be the levels of 1.5470 and 1.5450.

CIPD, the UK Institute of Personnel Development believes that the situation in the employment sector can be complicated for UK economy in 2011, because unemployment rate can rise to 9% and employment reduce to 200 thousand jobs.

According to CIPD estimates reduction in the public sector will amount to about 120 thousand jobs and about 80 thousand in the private sector. We would remind that British Government plans to reduce the number of staff in public sector by 330 thousand by 2015.

However, OBR, Committee on Budget Responsibility claimed that dismissal will be compensated by creation more that 1.5 million jobs in private sector. Anyhow, the year 2011 is not going to be easy for the UK economy.

Note that unemployment rate in the UK increased to 7.9% in QIII against the previous level of 7.8% and the forecast of 7.7%. Number of unemployed in the UK decreased only by 1.2 thousand against the expected reduction by 3 thousand.

It became known earlier that according to Hometrack estimate houses prices in the UK has been declining for the six consecutive months. This had a negative impact on the Pound and resulted in sale at the thin market.

 
 
 

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