- GBP/USD stops Friday’s declines as all major 10 polls show Conservatives leading in the race of December election.
- The latest USD gains seem checked as markets enter the key week, risk tone compresses.
- Trade/political headlines will be in the spotlight.
GBP/USD takes the bids to 1.3150 while heading into the London open on Monday. The quote seems to cheer the Tory lead in all the polls for this week’s election in the United Kingdom (UK). Further to support argument will be the traders’ profit-booking after the US Dollar (USD) registered broad gains on Friday.
ICM posts the least gap for the odds of victory between the ruling Conservatives and the main opposition Labour Party while Opinium stands on the other extreme. Even so all 10 top forecasters say that the Tories will win this election. Though, odds of a hung Parliament can’t be denied due to the slim majority of the Conservatives in some part of the Westminster.
It’s worth mentioning that allegations of the UK Prime Minister (PM) Boris Johnson keep rising with his latest media appearance accepting mistakes in promises concerning the National Healthcare System (NHS) and Northern Irish borders.
Elsewhere, the tussle between the United States (US) and China seems to renew with China stopping the usage of foreign computers and software by the government administration as well as shrugging off the trade war impact. Further, harsh comments from the Governor of China’s Xinjiang and a likely increase in Hong Kong protests, as indicated by Bloomberg, keep the risk tone heavier off-late.
As a result, the US 10-year treasury yields stop advancing, around 1.84%, whereas most Asian stocks remain subdued.
Given the latest polls showing optimism for the Tories, markets can expect a further upside of GBP/USD. However, a thin majority in some parts of Westminster and the UK PM’s receding fame in media can offer surprises in this week’s general election.
While sellers are likely to enter below 1.3100, with October highs near 1.3013 being the target, highs marked in May and April, close to 1.3180 and 1.3200 can keep Bulls happy.
Additional important levels
|Today last price||1.3146|
|Today Daily Change||5 pips|
|Today Daily Change %||0.04%|
|Today daily open||1.3141|
|Previous Daily High||1.3167|
|Previous Daily Low||1.31|
|Previous Weekly High||1.3167|
|Previous Weekly Low||1.2896|
|Previous Monthly High||1.2986|
|Previous Monthly Low||1.2769|
|Daily Fibonacci 38.2%||1.3126|
|Daily Fibonacci 61.8%||1.3141|
|Daily Pivot Point S1||1.3105|
|Daily Pivot Point S2||1.3069|
|Daily Pivot Point S3||1.3038|
|Daily Pivot Point R1||1.3172|
|Daily Pivot Point R2||1.3203|
|Daily Pivot Point R3||1.3239|
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers.