Now it is a small stable economic growth in the UK. Unemployment is on the low level, property prices increase, wages rise quite moderately, but inflation is at around zero, and a slight increase in wages is supporting purchasing power. The interest rates are also low and at the moment they are not going to grow. There is one risk to the UK economy - a large current account deficit of the balance of payments. As Mr. King, the former governor of the Bank of England, stated - UK must reduce its dependence on domestic consumption and credit and benefit greatly from the increased exports, but this didn't happen and an economy depend on the mood of foreign investors because of huge trade deficit. Today there is a number of important news that will set the future direction of the currency pair, now it is predicted a decline .
The main scenario
Previous forecast completely fulfilled. Couple moves in a downtrend, Tenkan and Kijun lines intertwined lower price, the price is moving inside the descending clouds, the downward movement of the pair from the resistance level 1.4700 is expected to continue. One should take "sell" positions below the resistance level of 1.4700, take profits on the support levels 1.4650, 1.4620, 1.4570.
Alternative scenario
If the pair will break through and consolidate above resistance level 1.4700, upward movement to the next resistance level of 1.4735, 1.4790 will be possible.
LEVELS
Of resistance: 1.4700; 1.4735; 1.4790.
Of support: 1.4650; 1.4620; 1.4570.
The main scenario
Previous forecast completely fulfilled. Couple moves in a downtrend, Tenkan and Kijun lines intertwined lower price, the price is moving inside the descending clouds, the downward movement of the pair from the resistance level 1.4700 is expected to continue. One should take "sell" positions below the resistance level of 1.4700, take profits on the support levels 1.4650, 1.4620, 1.4570.
Alternative scenario
If the pair will break through and consolidate above resistance level 1.4700, upward movement to the next resistance level of 1.4735, 1.4790 will be possible.
LEVELS
Of resistance: 1.4700; 1.4735; 1.4790.
Of support: 1.4650; 1.4620; 1.4570.
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