Thursday, 10 January 2019

Mark Carney speaks in the UK Parliament

Posted by Anonymous at 14:04 Labels: technical analysis

GBP / USD still cannot boast the same growth as the EUR / USD pair did, despite the serious weakening of the dollar (the dollar index sank 0.7% yesterday). The main limiting factor is the uncertainty associated with Brexit.

Yesterday Bank of England speech in UK Parliament was in the market spotlight, but his speech did not contain new information for traders so the market reaction was very restrained. Today, debates on the Brexit problem are to resume in UK parliament, they are expected to last five days after which a vote will be finally held. It is expected that in the near future the British government should publish a document that should reduce the concerns on the further implementation of customs regulation in Ireland. May government expects this document to change the balance of power in parliament in its favor.

Earlier Teresa May once again declared that the chances of concluding a new deal, in case of the parliament’s refusal to approve the current agreement are practically nil. This was previously stated and representatives of the EU.

On the chart, the currency pair is stuck in the side 1.2700-1.2800, but here the bulls have several strong intraday support levels, which in the future can help them overcome the resistance level of 1.2800 and continue the growth of the direction of the next target at 1.2900. Therefore, today we are closely following the range of 1.2710-1.2730 where there is a high probability of the reversal signals formation.

Our recommendations: longs in area 1.2730

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