Pounds To Dollars Daily Chart - 24th September 2009

Pounds To Dollars Daily Chart - 24th September 2009

Forex Technical Analysis :  Pounds to Dollars

The FOMC rate decision and statement were greeted by the forex markets and the pounds to dollars pair with a yawn, as there was little in the statement to suggest that any changes were imminent, either to interest rates or to monetary policy. The following extract really sums up the tone of the two day meeting as follows “In these circumstances, the Federal Reserve will continue to employ a wide range of tools to promote economic recovery and to preserve price stability.  The Committee will maintain the target range for the federal funds rate at 0 to 1/4 percent and continues to anticipate that economic conditions are likely to warrant exceptionally low levels of the federal funds rate for an extended period.” Following the news the pounds to dollars pair initially moved marginally higher, only to fall back lower almost immediately, and ending the trading session with a small doji cross candle, which just failed to breach the tightly bunched moving averages. Sadly the FOMC meeting has failed to provide the catalyst to the breakout that we had been anticipating, and we must now wait for the next trigger to inject some direction into the pounds to dollars pair. As mentioned in yesterday’s market commentary, we may now see an extended period of sideways consolidation, should the FOMC fail to deliver any surprises, and we must now wait for a break above the 1.67 price point, or a break below the 1.6000 lower support line.

Forex Fundamental : Pounds to Dollars

With no fundamental news on the economic calendar for the UK pound today, the focus is on the US markets once again, and I have covered all the US news in more detail on the euro to dollar site.You can keep up to date with all the latest fundamental news on the economic calendar, latest currency news and live currency charts by simply following the links.  I have also included details on an excellent ECN broker.