Sterling to Dollars - change today or wait?
Discussion
Dr G said:
All the papers seem to be saying something different about what the exchange rates will be like over the coming weeks...
I'm off to the states in the middle of November - should I buy dollars today or hold off in the hope it bounces back a little?
The rate is set to continue to fall over the coming six months.I'm off to the states in the middle of November - should I buy dollars today or hold off in the hope it bounces back a little?
The main factors being the scope for rate cuts in the UK compared
to the US and the election.
Forecast's are 1.50 - 1 by Christmas.
Boomberg said:
British Pound to Weaken Toward $1.60, Goldman Says (Update1)
2008-10-21 22:56:39.570 GMT
(Adds King comments in sixth paragraph.)
By Candice Zachariahs
Oct. 22 (Bloomberg) -- Britain's pound may weaken 4.2
percent against the dollar, said Kevin Edgeley, a technical
analyst at Goldman Sachs Group Inc. in London, citing charts
used to predict price movements.
``After a correction higher, prices have weakened again,
turning the short-term momentum bearish,'' Edgeley wrote in a
research note yesterday. The pound closed below $1.7045
yesterday, opening up ``a target around $1.60,'' he wrote,
citing weekly and monthly stochastic and trend strength
indicators.
The pound traded at $1.6704 at 7:27 a.m. in Tokyo from
$1.6707 yesterday. It has fallen 10 percent over the past month.
Britain probably faces a recession and policy makers will
act to prevent inflation from slowing too far after the
country's worst banking crisis since World War I, Bank of
England Governor Mervyn King said yesterday. House prices will
extend declines and the pound may depreciate further, King said,
his first explicit acknowledgement that the U.K. may be heading
into a recession.
``Rate differentials also support the move,'' Edgeley wrote.
The Bank of England and the Federal Reserve on Oct. 8 reduced
benchmark rates by 0.5 percentage point to 4.5 percent and 1.5
percent, respectively, to calm financial markets rocked by
seizure in credit markets.
``Not since the beginning of the First World War has our
banking system been so close to collapse,'' King said yesterday.
In technical analysis, investors and analysts study charts
of trading patterns and prices to forecast changes in a security,
commodity, currency or index.
2008-10-21 22:56:39.570 GMT
(Adds King comments in sixth paragraph.)
By Candice Zachariahs
Oct. 22 (Bloomberg) -- Britain's pound may weaken 4.2
percent against the dollar, said Kevin Edgeley, a technical
analyst at Goldman Sachs Group Inc. in London, citing charts
used to predict price movements.
``After a correction higher, prices have weakened again,
turning the short-term momentum bearish,'' Edgeley wrote in a
research note yesterday. The pound closed below $1.7045
yesterday, opening up ``a target around $1.60,'' he wrote,
citing weekly and monthly stochastic and trend strength
indicators.
The pound traded at $1.6704 at 7:27 a.m. in Tokyo from
$1.6707 yesterday. It has fallen 10 percent over the past month.
Britain probably faces a recession and policy makers will
act to prevent inflation from slowing too far after the
country's worst banking crisis since World War I, Bank of
England Governor Mervyn King said yesterday. House prices will
extend declines and the pound may depreciate further, King said,
his first explicit acknowledgement that the U.K. may be heading
into a recession.
``Rate differentials also support the move,'' Edgeley wrote.
The Bank of England and the Federal Reserve on Oct. 8 reduced
benchmark rates by 0.5 percentage point to 4.5 percent and 1.5
percent, respectively, to calm financial markets rocked by
seizure in credit markets.
``Not since the beginning of the First World War has our
banking system been so close to collapse,'' King said yesterday.
In technical analysis, investors and analysts study charts
of trading patterns and prices to forecast changes in a security,
commodity, currency or index.
Wait for a bounce to 1.70 then change it quickly as I reckon you won't get much better than that for a long time and it's going to the 1.50 mark very soon.
Something I wrote in August - I wonder how far off the mark i'll be
I'm not liking the 1.70 but at the time of writing it was around 1.93 I think.
Something I wrote in August - I wonder how far off the mark i'll be
I'm not liking the 1.70 but at the time of writing it was around 1.93 I think.Edited by g4ry13 on Wednesday 22 October 14:12
jamoor said:
Maxf said:
DucatiGary said:
jamoor said:
£1 = $1.54
its dived alot just this morningDouble balls.

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t £1 = $1.63