Categorized | Forex Stock News, GBP | AUD

Pound v Australian Dollar: GBP extends gains against AUD as retail sales fall

Pound v Australian Dollar: GBP extends gains against AUD as retail sales fall

UK MANUFACTURING PMI might have fallen short of forecasts, but the pound is managing to extend gains against the Australian dollar.

Pound Sterling and Australian Dollars

Watch the GBP closely over the next few months. The GBP is trading in a range and either we will have tremendous moves to the upside (opportunity for going long) or we have a break below the support line (opportunity for going short) and this would be another huge move.

Like with fishing, its best to wait for the moves to present themselves before jumping in. Patience is key to trading and this particular pair, when it moves in either one of these directions is going to trend. So keep an eye out on the news.

Stay tuned for our weekly updates and videos on all the major currency pairs.

Dont forget to sign up for your free Forex Guide.

The GBP/AUD exchange rate has bounced back to AU$1.644 thanks to the UK’s latest account report
The GBP/AUD exchange rate hit a low of AU$1.618 last week but managed to bounce back to AU$1.644 thanks to the UK’s latest current account report.

Friday’s data revealed that in Q4 of 2016 the current account deficit narrowed from -£25.7bn to -£12.1bn.

Given that a spiralling current account deficit was one of the major concerns about the UK’s post-referendum economy, the result gave the pound a boost and GBP also gained on EUR, USD and CAD.

The report was a sign of a move away from debt-based spending and additionally showed the UK coming a step closer to becoming a net lender, rather than a borrower.

Sterling is helping the UK erode the large external imbalance that contributed to the currency’s drop after the Brexit vote

AXA analysts

Analysts at AXA said: “The marked improvement in the current account suggests that at these levels sterling is helping the UK erode the large external imbalance that contributed to the currency’s drop after the Brexit vote.

“This should limit downside appetite for the [pound] even as we expect negative headlines from preliminary EU negotiations to mount.”

Today’s main UK news was the manufacturing purchasing manager’s index (PMI) for March, which disappointed forecasts.

Comments are closed.

Sign Up For A FREE Forex Intro Course Worth $97 Includes Videos + Free Video Course Below & Get The Latest FX Market News





  • Forex predator youtube
  • Trading Forex (foreign exchange) on margin carries a high level of risk, and may not be suitable for all investors. The high degree of leverage can work against you as well as for you. Before deciding to invest in foreign exchange you should carefully consider your investment objectives, level of experience, and risk appetite. The possibility exists that you could sustain a loss of some or all of your initial investment and therefore you should not invest money that you cannot afford to lose. You should be aware of all the risks associated with foreign exchange trading, and seek advice from an independent financial advisor if you have any doubts.


    Forex Predator expressly disclaims all liability for the use or interpretation by others of information contained on www.forexpredator.com. Decisions based on information contained herein are the sole responsibility of the visitor, and in exchange for using the information contained in this website the visitor agrees to hold Trading System Forex and its affiliates harmless against any claims for direct, or indirect, damages for decisions made by the visitor based fully or partially on such information.


    Whatever is the manual trading method, or the automated trading strategy, don't forget to test it first in demo. Also be aware that past performance is no guarantee of future results.