Pound Sterling Forecast

The Pound has once again this week been fairly range-bound against the Euro as neither currency has managed to put it’s right foot forward and take command in this strange market… Against the Dollar however we have had an extremely volatile week so far and i’m sure the Non-Farm Payroll data (unemployment data) due out tomorrow afternoon will not be a quiet one either to wrap up the week.

Again uncertainty had been the key in early week trading with the Dollar slowly gaining ground and looking liee it may continue to with minor force then out of nowhere we see yet another surprise pop up yesterdaywith the Central Banks agreement to pump some liquidity into the financial system in a bid to get things moving again. This bought some confidence back into the markets, stocks and shares soared and we also saw a large Dollar sell off leading the Dollars becoming cheaper to buy.

Following the usual pattern of late, the ‘riskier’ currencies also found some huge force as investors looked to get involved with them, increasing demand and meaning that currencies like the Australian Dollar, South African Rand and the New Zealand Dollar bit back with a vengance.

Tomorrow non farm payroll data will set the scene for afternoon trading, with the liquidity boost and such rapid currency movements following it, this does suggest that if you do have transfers to carry out you must make sure you protect yourself from unexpected and rapid adverse market movements. A tool we offer here is a stop-loss which does exactly that. Feel free to contact me directly on djw@currencies.co.uk and I will be happy to explain exactly how it works and assist with any currency transfers you are looking to carry out.

I look forward to speaking with you.