Currently we believe that the Pound is setting up for a major swing back to the upside. Both the long term (monthly) chart and the daily chart are suggesting further bullish movement ahead.


But let us step back a bit: currently the situation is more unclear than before as in the past days British PM Theresa May’s proposed plans for a soft Brexit as well as a hard Brexit have both been rejected by the UK Parliament.


So What Lies Ahead?

As Theresa May clearly does not want to leave her position (she has already survived a no-confidence vote back in January anyway), she would also not lose face in the end if she calls out for a new referendum anytime soon. It is important to keep in mind however, that May has made it clear a number of times that she does not support the idea for a second referendum but could call out for one should the Parliament be unable to agree on a Brexit plan.

We believe that the markets are taking this into consideration and could break to the upside soon. If a new referendum follows through we could see the Pound moving to the old Highs at around the 1.40 area at some point. We bought GBPUSD at 1.3315 with SL at 1.3075 and TP at around 1.3990.

Risk Warning: CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 76.8% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money.

The content of this material and/or any information provided by BDSwiss Holding PLC should not in any way be construed, either explicitly or implicitly, directly or indirectly, as investment advice, recommendation or suggestion of an investment strategy with respect to a financial instrument and it is not intended to provide a sufficient basis on which to make investment decisions, in any manner whatsoever. Any information, views or opinions presented in this material have been obtained or derived from sources believed by BDSwiss Research Department to be reliable, but BDSwiss makes no representation as to their accuracy or completeness. BDSwiss Holding PLC accepts no liability for loss arising from the use of this data and information. The data and information contained therein are for background purposes only and do not purport to be full or complete.

Analysis feed

Latest Forex Analysis

Editors’ Picks

EUR/USD recaptures 1.08 as coronavirus fears weigh on market mood

EUR/USD has recaptured 1.08 as US bond yields retreat in reaction to growing fears about the coronavirus outbreak economic impact. Earlier, the pair plunged amid weak German data.


GBP/USD bounces above 1.30 as markets shrug off wage figures

GBP/USD is trading above 1.30 as investors ignore weak UK wage figures and Brexit concerns once again. Coronavirus headlines are eyed.


Altcoins push hard not waiting for a Bitcoin reaction

The Altcoin market has only needed one business day to see prices rise sharply again. Bitcoin, still, has adopted the anchor function and for the moment is giving up the battle for the $10000.

Read more

Gold firmer, near $1,600/oz on coronavirus fears

Renewed fears around the Chinese coronavirus (COVID-19) have been supporting the demand for the safe haven metal in past hours, taking the ounce troy to levels just shy of the key $1,600 mark.

Gold News

FXStreet launches Real-Time Trading Signals

FXStreet Signals offers access to explanatory live webinars, real-time notifications when signals are triggered and exclusive membership to the company’s Telegram group, where users get direct guidance by our analysts and get room to discuss and interact.

More info

Forex Majors