- British Pound managed to trade higher against the US dollar and looks set for more gains.
- There was a major bearish trend line formed on the hourly chart of the GBPUSD pair, which was broken to clear the way for more upsides.
- US Goods Trade Balance released by the US Bureau of Economic Analysis posted a trade deficit of $-63B in Feb 2016, more than the market forecast.
- US Personal Income released by the Bureau of Economic Analysis, Department of Commerce posted a rise of 0.2% in Feb 2016.
The British Pound climbed higher during the past few hours against the US Dollar, and showed a lot of positive signs. The most important aspect is the fact that the bulls broke a major bearish trend line formed on the hourly chart of the GBPUSD pair.
The pair is also above the 100 hourly simple moving average, and looks set for a move towards the 200 hourly SMA.
On the downside, if you are looking to buy GBP/USD, then keep an eye on the 100 hourly SMA.
US Goods Trade Balance
Today, during the NY session, the Goods Trade Balance, which is the difference in value between imported and exported goods was released by the US Bureau of Economic Analysis and the U.S. Census Bureau. The forecast was slated for a trade deficit of $-62.3B in Feb 2016. However, the outcome was disappointing, as the Goods Trade Balance came in at $-63B.
On the other hand, the Personal Income released by the Bureau of Economic Analysis, Department of Commerce posted a gain of 0.2% in Feb 2016, which was more than the forecast of 0.1%.
Overall, the recent break in the GBPUSD break is crucial, and may take the pair higher in the near term.