News & Analysis at your fingertips.

We use a range of cookies to give you the best possible browsing experience. By continuing to use this website, you agree to our use of cookies.
You can learn more about our cookie policy here, or by following the link at the bottom of any page on our site.

0

Notifications

Notifications below are based on filters which can be adjusted via Economic and Webinar Calendar pages.

Live Webinar

Live Webinar Events

0

Economic Calendar

Economic Calendar Events

0
Free Trading Guides
EUR/USD
Bullish
Low
High
of clients are net long.
of clients are net short.
Long Short

Note: Low and High figures are for the trading day.

Data provided by
Oil - US Crude
Bearish
Wall Street
Bearish
Gold
Mixed
GBP/USD
Bullish
Low
High
of clients are net long.
of clients are net short.
Long Short

Note: Low and High figures are for the trading day.

Data provided by
USD/JPY
Bearish
More View more
Real Time News
  • Indices Update: As of 07:00, these are your best and worst performers based on the London trading schedule: FTSE 100: -0.25% US 500: -0.35% Wall Street: -0.36% France 40: -0.40% Germany 30: -0.57% View the performance of all markets via https://www.dailyfx.com/forex-rates#indices https://t.co/cyYqs9hGYZ
  • 🇫🇷 Business Confidence (OCT) Actual: 93 Expected: 96 Previous: 96 https://www.dailyfx.com/economic-calendar#2020-10-22
  • Heads Up:🇫🇷 Business Confidence (OCT) due at 06:45 GMT (15min) Expected: 96 Previous: 96 https://www.dailyfx.com/economic-calendar#2020-10-22
  • 🇩🇪 GfK Consumer Confidence (NOV) Actual: -3.1 Expected: -2.8 Previous: -1.7 https://www.dailyfx.com/economic-calendar#2020-10-22
  • What are some trading mistakes @nickcawley1 made during his career and what did he learn from them? Find out:https://t.co/y3cckNW22W https://t.co/DWXPd1Fa8E
  • 🇳🇴 Unemployment Rate (AUG) Actual: 5.3% Expected: 5.1% Previous: 5.2% https://www.dailyfx.com/economic-calendar#2020-10-22
  • 🇩🇪 GfK Consumer Confidence (NOV) Actual: -3.1 Expected: -2.8 Previous: -1.6 https://www.dailyfx.com/economic-calendar#2020-10-22
  • Heads Up:🇳🇴 Unemployment Rate (AUG) due at 06:00 GMT (15min) Expected: 5.1% Previous: 5.2% https://www.dailyfx.com/economic-calendar#2020-10-22
  • Heads Up:🇩🇪 GfK Consumer Confidence (NOV) due at 06:00 GMT (15min) Expected: -2.8 Previous: -1.6 https://www.dailyfx.com/economic-calendar#2020-10-22
  • Traders utilize varying time frames to speculate in the forex market. The two most common are long- and short-term-time frames which transmits through to trend and trigger charts. Learn more about time-frame analysis here: https://t.co/UalZ8cRSXB https://t.co/O7fLzs4TqT
British Pound, GBP/USD Outlook as No-Deal Brexit Fears Resurface

British Pound, GBP/USD Outlook as No-Deal Brexit Fears Resurface

2019-12-17 00:00:00
Daniel Dubrovsky, Analyst
Share:

Asia Pacific Market Open Talking Points

Introduction to Forex News Trading
Introduction to Forex News Trading
Recommended by Daniel Dubrovsky
Download our guide to learn about trading around news
Get My Guide

British Pound Drops as No-Deal Brexit Woes Resurface

The British Pound is falling in early Tuesday trade as the reality of what last week’s UK general election means for Brexit sinks in. On the one hand, the comfortable Conservative majority makes for pushing through Prime Minister Boris Johnson’s withdrawal agreement relatively easier. On the other hand, a key campaign promise of his was rejecting an extension of the transition period beyond the December 31, 2020 deadline.

Reports crossed the wires that Mr Johnson would propose a law legally blocking the ability to extend the transition period deadline. That means that once the EU-UK withdrawal agreement is likely accepted in Parliament by January 31, the difficult road ahead for extensive trade talks could have a limited amount of time to be debated. In other words, it could raise the prospect of a no-deal Brexit and weaken GBP as expected.

The haven-linked US Dollar is rallying versus its major counterparts against this backdrop as the pro-risk Australian Dollar is seeing selling pressure. S&P 500 futures are also pointing cautiously lower ahead of the Asia Pacific trading session and could inspire a cautiously “risk-off” tilt ahead. This follows an overall rosy session on Wall Street where equities continued to reap the benefits of an interim US-China trade deal.

Ahead, in addition to paying close attention to risk appetite, the Australian Dollar will also be keeping a close eye on the minutes of the December RBA monetary policy announcement. The AUD could find support if the document continues to undermine aggressive easing bets. Some regional lending institutions have been raising expectations that the central bank could undergo unconventional measures such as quantitative easing.

British Pound Technical Analysis

The British Pound continues trimming gains against the US Dollar after failing to clear the key falling trend line from June 2015. Now, GBP/USD has left behind a Shooting Star candlestick which is a sign of indecision. A confirmatory close to the downside could precede a reversal of the uptrend from September. That places the focus on near-term support at 1.3177 and rising support from October.

Charts of the Day – GBP/USD

British Pound, GBP/USD Outlook as No-Deal Brexit Fears Resurface

Chart Created Using TradingView

Starts in:
Live now:
Nov 04
( 00:11 GMT )
Learn using sentiment in market analysis
What Do Other Traders Buy/Sell Bets Say About Price Trends?
Register for webinar
Join now
Webinar has ended

--- Written by Daniel Dubrovsky, Currency Analyst for DailyFX.com

To contact Daniel, use the comments section below or @ddubrovskyFX on Twitter

DailyFX provides forex news and technical analysis on the trends that influence the global currency markets.

DISCLOSURES