7 Jun 2013
Flash: Watch for chance to buy GBP/USD on dips - BMO Capital Markets
FXstreet.com (Barcelona) - BMO Capital Markets analysts note that the steady buying of GBP both against the USD and on many of the cross rates was seen all day yesterday.
Further, later in the day they add that GBP/USD shot higher taking out the recent 1.5600/1.5625 highs, after the USD got a hammering elsewhere. They see that the data stream from the UK continues to pick up, and with the volatility seen elsewhere, GBP seems to be taking on a safe haven status too, so for now dips are likely to remain shallow. They finish by writing, “Clearly today’s US Payrolls are going to be the main focus but we do also get the UK April Trade Balance numbers at 9.30 BST. Would look to buy any dip back towards 1.5525/1.5550 initially if seen today.”
Further, later in the day they add that GBP/USD shot higher taking out the recent 1.5600/1.5625 highs, after the USD got a hammering elsewhere. They see that the data stream from the UK continues to pick up, and with the volatility seen elsewhere, GBP seems to be taking on a safe haven status too, so for now dips are likely to remain shallow. They finish by writing, “Clearly today’s US Payrolls are going to be the main focus but we do also get the UK April Trade Balance numbers at 9.30 BST. Would look to buy any dip back towards 1.5525/1.5550 initially if seen today.”