Sterling Struggles Ahead of Theresa May's Speech

17 January, 2017

Theresa May will make a speech outlining her plans for Brexit tomorrow, Tuesday 17th Jan, before the UK triggers Article 50 to leave the EU.

The key points of her speech will include immigration control & leaving the jurisdiction of the European Court of Justice.

On Sunday 15th Jan, the Sunday Telegraph reported that UK Prime Minister Theresa May is heading for a hard Brexit and will pull the UK out of the EU single market and custom union.

Sterling fell to a three-month low this morning, ahead of Theresa May’s Brexit speech.

On Monday 16th Jan, EURGBP surged more than 1%, to a two-month high of 0.8851.

GBPUSD fell below 1.2000, hitting the lowest level for three decades at 1.1985, breaking the support level at 1.2000, and the low in last October.

This morning, GBPUSD has rebounded after testing the significant support line at 1.2000.

The price is currently testing the support level at 1.2050.

The 4 hourly Stochastic Oscillator is below 30, suggesting a rebound.

Yet, on the 4 hourly chart, the 10 SMA crossed over the 20 SMA, the bearish momentum is strengthening. Be aware of the upside selling pressure.

The resistance level is at 1.2080, followed by 1.2100 and 1.2120.
The support line is at 1.2050, followed by 1.2020 and 1.2000.

Be aware that Sterling is likely to be very volatile before and after Theresa May’s speech.

We will also see the release of a series of the UK economic data for December tomorrow at 09:30 GMT. It includes PPI, Core PPI, CPI and Core CPI figures (YoY and MoM), which will also influence the strength of Sterling.


Source link  
Equity market causes investors confusion

As a turbulent December in equity markets draws to a close, there's one thing traders and investors can agree on: these are not usual times, especially...

Global debt exceeded $ 184 trillion

According to the International Monetary Fund (IMF), the global debt has achieved $184 trillion with $86,000 per person, a figure that is twice larger than...

Why U.S. markets are under pressure

Global markets are on the rise on Wednesday, adding more than 1.2% on the MSCI Asia ex Japan index. Japanese Nikkei jumped by 2%. Chinese...


Dow recovers after 500 points decline

Stocks closed higher Monday as major indexes bounced back from earlier losses as renewed confidence in the strength of the U.S. economy offset lingering...

Pound rallied, stocks declined

The U.K. main stock index closed lower Thursday, weighed down by weakness for resource stocks and banks and a strong pound as the outline of a key agreement...

Oil slips as U.S. inventories swelled

Oil prices slipped on Thursday after U.S. crude inventories swelled to their highest level since December 2017 amid concerns of an emerging global glut, although...


Crude's Collapse Is Sending Shockwaves

Investors have gone from contemplating the prospect of oil at $100 to sub-$50 in less than two months. No wonder global markets are playing catch-up....

Dollar growth pushed down stock indices

Monday was a hard day for the financial markets. American DJI lost more than 2.3% and S&P500 decreased by 2.0%. As in previous weeks, the main pressure...

U.S. stocks recover after elections

Preliminary estimates of the U.S. election results support a positive mood on the world markets, reducing the demand for protective assets and causing...


In the past 24 hours Bitcoin has lost -0.82% and reached $3639.69361624. Open your trading account with the best cryptocurrency brokers on special terms today.

In the past 7 days the EUR/USD pair has gained 1.5351% and is now at $1.1563. Start trading and making money on Forex today.

In the past 7 days Ethereum has lost -9.52% and is now at $122.555133223. Have the most popular cryptocurrencies compared online 24/7.


Top Brokers offering Daily Forex Market Reviews


Forex Currencies Forecasts


Top 10 Forex Brokers 2019

# Broker Review
1easyMarketseasyMarkets91%
2FXTMFXTM87%
3HYCMHYCM86%
4FxProFxPro84%
5FIBO GroupFIBO Group83%
6OctaFXOctaFX82%
7HotForexHotForex81%
8FXCMFXCM80%
9XMXM72%
10FP MarketsFP Markets69%
  


Share: