GBP/USD analysis: mounting the Brexit rollercoaster
|GBP/USD Current price: 1.3470
Irish border, the last milestone ahead of a Brexit deal.
UK to release Industrial and Manufacturing production and trade balance figures.
After falling for three consecutive days, the GBP/USD pair changed course during the last US session to end the day with solid gains well above the 1.3400 level and after printing a low at 1.3319. The early slump was the result of UK PM May words, as despite ensuring a Brexit deal is near, she reckoned that more work needs to be done to secure an agreement on the Irish Border issue. Later on the day, the Pound got boosted by headlines indicating that the EU and the UK reached an agreement on the role of the European Court of Justice post-Brexit, being then, the Irish border issue, the last milestone, which headlines indicating a deal is close on the issue being the latest bullish catalyst. The UK macroeconomic calendar will finally have something consistent to offer this Friday, in the form of Industrial and Manufacturing Production and Trade balance figures for October. The pair is currently trading around the 23.6%% retracement of the latest bullish run, after piercing late Thursday the 61.8% retracement of the same rally at 1.3345. In the 4 hours chart, the price is above a bullish 20 SMA, while technical indicators corrected from near oversold territory, regaining now upward strength.
Support levels: 1.3445 1.3390 1.3345
Resistance levels: 1.3485 1.3520 13550
View Live Chart for the GBP/USD
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