GBP/USD weekly special report based on 1 Lot Calculation:
- EVENT (THURSDAY, AUGUST 29 AT 13:30 GMT+1): US GROSS DOMESTIC PRODUCT (GDP) (Q2) second reading. The first reading back in July showed an increase in GDP growth rate to 2.8% from Q1’s 1.4%. Most recent estimates show that the second reading could also came in as same as the first reading, at 2.8%. If it comes below expected 2.8%, the US dollar then it could be expected to come under negative pressure.
- EVENT (THURSDAY, AUGUST 29 AT 13:30 GMT+1): US INITIAL JOBLESS CLAIMS. The US will report its weekly initial jobless claims. Jobless claims have been rising lately, indicating a slowing job market.
- EVENT (FRIDAY, SEPTEMBER 6 AT 13:30 GMT+1): US NONFARM PAYROLLS AND UNEMPLOYMENT RATE (AUGUST). The US labour market has seen some weakness over the past few months as the unemployment rate managed to rise to its highest since late 2021 (4.3%). This is creating a headache to the US Federal Reserve ahead of the September meeting and next week’s data could give better clues whether the Fed could be more aggressive in cutting interest rates in the next few months. Another month of negative employment data in the US could keep the US dollar under negative pressure.
- US FEDERAL RESERVE EXPECTED TO CUT RATES AGRESSIVELY STARTING SEPTEMBER 2024. The most recent economic turmoil in the US raised chances that the Fed could cut interest rates by 25 basis points in September, another 50 basis points in November and 25 basis points in December 2024. All in all, that could reduce interest rates from the current 5.5% (the highest in over 20 years) to 4.50%. Falling interest rates in the US could put negative pressure on the US dollar. NEXT FED INTEREST RATE ANNOUNCEMENT: September 18 at 19:00 GMT+1
GBP/USD, August 27, 2024
Current Price: 1.3200
|
GBP/USD |
Weekly |
|
Trend direction |
|
|
1.3600 |
|
|
1.3450 |
|
|
1.3320 |
|
|
1.3090 |
|
|
1.3050 |
|
|
1.3000 |
Example of calculation based on weekly trnd direction for 1 Lot1
|
GBP/USD |
||||||
|
Pivot Points |
||||||
|
Profit or loss in $ |
4,000 |
2,500 |
1,200 |
-1,100 |
-1,500 |
-2,000 |
|
Profit or loss in €2 |
3,584 |
2,240 |
1,075 |
-986 |
-1,344 |
-1,792 |
|
Profit or loss in £2 |
3,026 |
1,891 |
908 |
-832 |
-1,135 |
-1,513 |
|
Profit or loss in C$2 |
5,387 |
3,367 |
1,616 |
-1,481 |
-2,020 |
-2,694 |
1. 1.00 lot is equivalent of 100,000 units
2. Calculations for exchange rate used as of 13:30 (GMT+1) 27/08/2024
There is a possibility to use Stop-Loss and Take-Profit.
- You may wish to consider closing your position in profit, even if it is lower than suggested one.
- Trailing stop technique could protect the profit.