GBP Price Outlook: Driven by Brexit and Fed Chair Powell - Webinar
GBPUSD Price, Chart and Analysis:
- Brexit news may increase as PM Johnson meets Angela Merkel and Emmanuel Macron.
- US interest rate discussion will drive markets later in the week.
Keep up to date with all key economic data and event releases via the DailyFX Economic Calendar
Brexit and Fed Chair Jerome Powell
Sterling is opening the week on the backfoot as Brexit no-deal talk continues, along with increased rhetoric from the Remain supporters that they will stop PM Boris Johnson from pushing a no-deal Brexit through without Parliamentary consent. On Sunday, one the main UK newspapers published confidential documents – Operation Yellowhammer – that warned of food, fuel and medicine shortages in the case of a no-deal Brexit.
With no data to look forward to, the main events of the week are the German/Eurozone PMIs, with further weakness expected, and the FOMC minutes on Wednesday and Fed chair Jerome Powell’s speech at the Jackson Hole Symposium on Friday.
GBP/USD Price Chart (January – August 19, 2019)
Retail traders are 73.2% net-long GBPUSD according to the latest IG Client Sentiment Data, a bearish contrarian indicator. However recent daily and weekly positional changes give us a bullish contrarian biaseven though traders remain net-long.
What is your view on Sterling (GBPUSD) – bullish or bearish? You can let us know via the form at the end of this piece or you can contact the author at firstname.lastname@example.org via Twitter @nickcawley1.
DailyFX provides forex news and technical analysis on the trends that influence the global currency markets.