GBP/USD: Buying interest seems quite limited
A weaker dollar maintains GBP/USD afloat this Tuesday, with the pair trading around the 1.3500 level. The post-Brexit deal is under scrutiny amid multiple unsolved issues. Meanwhile, the UK reported over 40K new coronavirus contagions in one day, a record high, weighing on the pound, FXStreet’s Chief Analyst Valeria Bednarik reports.
See: Brexit to continue reverberating in years to come – Danske Bank
Key quotes
“The sterling lost momentum despite the UK and the EU were able to clinch a post-Brexit deal, as investors scrutinize the document, which shows that multiple issues remain unsolved. The market’s reaction is limited by thin holidays trading in a shortened week with an empty macroeconomic calendar.”
“The latest coronavirus developments in the UK are also capping sterling. The country reported over 40K new COVID-19 cases in one day this week, the largest increase on record, despite strict lockdown measures are being applied throughout the kingdom.”
“The GBP/USD pair is trading higher in range, but the near-term technical picture indicates that bullish intentions are few. In the 4-hour chart, a bullish 20 SMA offers dynamic resistance in the 1.3520 price zone, while the longer moving averages head nowhere below the current level.”
Reprinted from FXStreet，the copyright all reserved by the original author.
Disclaimer: The content above represents only the views of the author or guest. It does not represent any views or positions of FOLLOWME and does not mean that FOLLOWME agrees with its statement or description, nor does it constitute any investment advice. For all actions taken by visitors based on information provided by the FOLLOWME community, the community does not assume any form of liability unless otherwise expressly promised in writing.
FOLLOWME Trading Community Website: https://www.followme.com
Hot
No comment on record. Start new comment.