GBP/USD: Virus woes probe bulls targeting 1.2800
GBP/USD slips off intraday low of 1.2770 to 1.2765 amid the early Monday morning in Asia. The Cable surged from 1.2746 to 1.2768 at the week’s start as traders believed Brexit deal is still possible, based on the weekend headlines. However, fears that the coronavirus (COVID-19) is heading towards the national lockdown recalled the bears off-late.
The Times came out with the news suggesting that the UK government is up for an emergency ban on socializing. The news pulled GBP/USD back from the intraday high to 1.2755. However, renewed concerns about the Brexit keep the bulls hopeful.
GBP/USD Forecast: Battle around 1.2700 will likely be won by bears
The GBP/USD pair closed a third consecutive day unchanged around 1.2740 last Friday, as the Pound found support in Brexit-related headline. The EU and the UK will start their ninth round of talks this Tuesday, the final stage of Brexit trade talks ahead of the EU summit that will take place in Brussels in mid-October. However, the prevalent demand for the American currency kept the pair confined to familiar levels. By the end of the week, the UK published August Public Sector Net Borrowing, which increased by more than anticipated, reaching£35.195 B from £14.71 B in the previous month.
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