By: Andrew Keene
The pound remained higher against the dollar as concerns over the timing of possible tapering by the Federal Reserve. The pound hit 1.5672 during U.S morning trade, the pair’s highest since June 18; as the latest UK economic data was again stronger-than-expected with retail sales rising 1.1% in July, from 0.2% the previous month. The warm weather conditions during July provided retail sales with a significant boost. However, the pound remains under pressure on rising concerns over current tightening in the UK markets as well as the Fed’s upcoming decision on tapering. This indecision and uncertainty were reflected in the stock market's closing levels and in currency price fluctuations. The pound is likely to find support at 1.5606 Friday’s low of 1.5606, and resistance at 1.5722, the June 18 high.
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Risk: $60 per 1 Lot
Reward: $140 per 1 Lot