GBP Trading Outlook (09-02-2011)

The Sterling (GBP) was on a weak footing under pressure on crosses with EUR/GBP in particular contributing to pound weakness. Support is seen at 1.6000 and is the first target of bears ahead of Thursday&rsquo s key BOE Announcement. Overall the GBP/USD traded with a low of 1.6087 and a high of 1.6188 before closing the day at 1.6130 in the New York session. Looking ahead, December Trade Balance forecast at -8.6bn vs. -8.74bn previously.

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