Commodity Chart - British Pound Futures: Long Term Chart
British Pound Analysis - June 29, 2006
British Pound Futures - The British Pound, along with other foreign currencies, has been in a bull market for several years now. Obviously, this can be attributed to the decline of the U.S. Dollar. Currencies are usually trending and normally don't trade sideways for a long time. A long-term trend for currencies normally lasts about 6-10 years. Foreign Currencies have been trending up for about 3 1/2 years although it has been a strong move. History dictates that the move should continue for several more years.
Outlook on British Pound Futures: The common theme right now is to sell the Dollar and buy European Currencies. The Dollar does look like its trying to form a double bottom, technically. That is something to be aware of. Another sign is to watch out for the Treasury on whether they are concerned about the Dollar. If so, the trend might change and it could last for a long time.