GBP Trading Outlook (30-07-2012)

The Sterling (GBP) the GBP/USD tested above 1.5750 a few times on Friday but each time we had solid resistance and the market is now ranging between 1.5700 and 1.5750 waiting for further news from the ECB and US FED. The UK itself has embarked of a very loose monetary policy with 0.5% interest rates and very large asset purchase program currently at 325bn Pounds. Looking ahead, July UK Halifax forecast at -0.5% vs. 1% previously. July UK CBI Distributive Trades forecast at 15 vs. 42 previously.

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