ANALYSIS
NQ100 Finds Support from PPIApr 14
GBPUSD Could Drop To 2.5-Year Low
In the United Kingdom, political uncertainty, which is gradually dissipating as the new Prime Minister is announced, affords some support to the pound. However, the country's recession and high inflation concerns hinder this support. On the other hand, with the hawkish messages from the FED Officials at the Jackson Hole symposium, there is pressure on the dollar to evaluate another 75 basis point interest rate hike. Technically, if the GBPUSD parity, which continues its descending channel movement, can leave the 1.1650 level behind, it can continue to deepen its losses until the psychological 1.1600 support, which will be the lowest level since March 2020. On the upside, 1.1735 – 1.1775 may work as a resistance zone.
