Confirming you are not from the U.S. or the Philippines

By giving this statement, I explicitly declare and confirm that:
  • I am not a U.S. citizen or resident
  • I am not a resident of the Philippines
  • I do not directly or indirectly own more than 10% of shares/voting rights/interest of the U.S. residents and/or do not control U.S. citizens or residents by other means
  • I am not under the direct or indirect ownership of more than 10% of shares/voting rights/interest and/or under the control of U.S. citizen or resident exercised by other means
  • I am not affiliated with U.S. citizens or residents in terms of Section 1504(a) of FATCA
  • I am aware of my liability for making a false declaration.
For the purposes of this statement, all U.S. dependent countries and territories are equalled to the main territory of the USA. I accept full responsibility for the accuracy of this declaration and commit to personally address and resolve any claims or issues that may arise from a breach of this statement.
Cancel Confirm
We are dedicated to your privacy and the security of your personal information. We only collect emails to provide special offers and important information about our products and services. By submitting your email address, you agree to receive such letters from us. If you want to unsubscribe or have any questions or concerns, write to our Customer Support.
Confirm
Octa trading broker Sign up Log in
Trading news
Back
3 Aug 2021

GBP/USD climbs to fresh session tops, around 1.3925 region

  • A combination of factors assisted GBP/USD to catch some fresh bids on Tuesday.
  • The improving COVID-19 situations in the UK acted as a tailwind for the sterling.
  • A softer tone surrounding the USD remained supportive of the intraday move up.

The GBP/USD pair edged higher through the first half of the European session and climbed to fresh daily tops, around the 1.3925 region in the last hour.

Following the overnight intraday pullback of over 50 pips, the GBP/USD pair regained positive traction on Tuesday and for now, seems to have snapped two consecutive days of the losing streak. The optimism over the declining trend of new COVID-19 cases in the UK continued acting as a tailwind for the British pound. This, along with a softer tone surrounding the US dollar, turned out to be key factors that provided a modest lift to the major.

In fact, the key USD Index languished near one-month lows touched last week amid firming expectations that the Fed would retain its ultra-lose monetary policy stance for a longer period. Apart from this, Monday's disappointing US ISM Manufacturing PMI and the risk-on impulse in the markets further undermined the safe-haven greenback. That said, a solid bounce in the US Treasury bond yields might help limit any deeper losses for the USD.

Meanwhile, evidence of a more robust UK economic recovery now seemed to have fueled speculations that the Bank of England (BoE) could be among the first major central banks to begin the process of weaning its economy off stimulus support. Hence, the market focus will remain on the upcoming BoE monetary policy meeting on Thursday. Heading into the key event risk, investors might refrain from placing aggressive bets, which might cap gains for the GBP/USD pair.

Hence, it will be prudent to wait for some strong follow-through buying before positioning for any further appreciating move amid absent relevant market-moving economic releases, either from the UK or the US. That said, the broader market risk sentiment might influence the USD price dynamics and provide some short-term trading impetus to the GBP/USD pair.

Technical levels to watch

 

 

Aug 3, 2021

EUR/CZK: Higher yields to encourage a stronger koruna – MUFG

During July the Czech koruna advanced marginally against the euro from 25.495 to 25.485. Looking ahead, the Czech National Bank (CNB) rate hike expect
Read more Previous
Aug 3, 2021

USD/JPY to plummet towards 108.19 on a break below key support at 109.07 – Credit Suisse

USD/JPY remains under pressure, leaving the spotlight on key support from the recent low and 61.8% retracement of the rally from late April at 109.07/
Read more Next