So another day in British politics and it seems we are even further away from a deal over Brexit than ever before.
With Parliament expected to be suspended today and Angela Merkel telling Boris Johnson a deal is “overwhelmingly unlikely”, GBP has suffered, with some sharp moves to the downside.
It is now sitting at 1.22 support level, however with confidence so low we could see GBP break this level and move further south.
At this sort of time, with news constantly changing and Britain’s direction post October not clear it will be best, in our opinion, to keep an eye on GBP pairs but not rush into anything.
Today, with GBP weakening however we did manage to catch the momentum on a few pairs with some of our VIP members using the techniques taught by the team on trade management and therefore banking over 160 PIPS.
So while GBP is all over the place what else are we looking at.
Gold – Short bias on metals still remains. We were looking to be a seller from channel resistance at 1520, but the spike higher into this level has not materialised as of yet. It has now broken support at 1495, but mid-channel is always a harder place to trade and 1485 support is just below. We are looking at trading to and from the top and bottom or the channel.
AUD – We will be looking at NZD buy options, our bias is also higher in AUD. AUDCHF (above 0.6770) and AUDJPY (above 72.55) are where we would be interested in taking long AUD trades.
It is going to be an interesting rest of the week now that is for sure, so lets look to catch momentum where we can!