This week will be crucial for the currency pair as several key economic data releases are scheduled, potentially impacting its direction.

• 1.2546 current rate, eyeing 1.24 support or recent 1.27 highs.
• Tuesday:
  • 3pm HKT: UK employment figures
  • Later: Critical US inflation data expected at 3.1% (down from 3.2%).
• Wednesday:
  • 3pm HKT: UK growth figures for October (expected slight increase to 0.1%).
  • Weaker numbers could fuel recession fears.
• Thursday:
  • 3am & 3:30am HKT: Fed rate decision and press conference.
  • 8pm HKT: Bank of England interest rate decision followed by retail sales data.
  • Thursday expected to set the trend for the week.
• Positive signs:
  • Private sector activity index shows growth after 3 months of decline.
  • This could be an early indicator of a 2024 economic revival.
• Market expectations:
  • No change in Fed rates this week.
  • Optimistic outlook for the market, despite warnings of tech stock concentration.