1. Fundamental Overview
EU's Chief Brexit Negotiator, Michel Barnier sent the Pound skyrocketing and the GBP/USD pair up to 1.3014 it highest since August 6, after announcing that the EU is close to offering the UK a deal, "such as has never been with any other third country." He also clarified that the single market means exactly that, single market and that the UK must respect core EU structures. Leaving the UK inside the single market "is not negotiable," according to Barnier. Nevertheless, the announcement was enough to bring relief after fears of a no-deal depressed the Pound to yearly lows against major rivals. Another positive sign came from German Foreign Minister, who claimed that the country is striving for an ambitious an close partnership with the UK, cohesive with EU rules. Furthermore, Brexit Minister Raab said that a deal is "within our sights." Things look much brighter than 24 hours ago, and indeed these headers are a game changer for the Sterling, which may continue appreciating particularly if the USD remains weak.
2.Technical analysis
From the GBP/USD chart, we could spot a going up trending after yesterday's bullish engulfing candlesticks. It's also the fibo's 0.618 support area. I use 4H chart to do analysis to recognize long-term trend. very useful for intra-day traders. Check the US dollar index, it shows that the lower bands has been broken. if the dollar continues to go down, it's good to go long for the GBP/USD.
My overall opinion is going long with this pair.
EU's Chief Brexit Negotiator, Michel Barnier sent the Pound skyrocketing and the GBP/USD pair up to 1.3014 it highest since August 6, after announcing that the EU is close to offering the UK a deal, "such as has never been with any other third country." He also clarified that the single market means exactly that, single market and that the UK must respect core EU structures. Leaving the UK inside the single market "is not negotiable," according to Barnier. Nevertheless, the announcement was enough to bring relief after fears of a no-deal depressed the Pound to yearly lows against major rivals. Another positive sign came from German Foreign Minister, who claimed that the country is striving for an ambitious an close partnership with the UK, cohesive with EU rules. Furthermore, Brexit Minister Raab said that a deal is "within our sights." Things look much brighter than 24 hours ago, and indeed these headers are a game changer for the Sterling, which may continue appreciating particularly if the USD remains weak.
2.Technical analysis
From the GBP/USD chart, we could spot a going up trending after yesterday's bullish engulfing candlesticks. It's also the fibo's 0.618 support area. I use 4H chart to do analysis to recognize long-term trend. very useful for intra-day traders. Check the US dollar index, it shows that the lower bands has been broken. if the dollar continues to go down, it's good to go long for the GBP/USD.
My overall opinion is going long with this pair.