Interest Rates Are the Key to the Pound’s Performance

Want the full fundamental and technical GBP forecast for the fourth quarter? Get it here!

Talking Points:

  • The British Pound should continue to benefit from the prospect of higher UK interest rates in the fourth quarter despite Brexit confusion and UK political concerns.
  • However, while GBP may have a fundamental advantage over many other currencies, GBP/USD is ripe for a large trending move lower.

Once again, the British Pound shrugged off the dire predictions of analysts worried about Brexit and a chaotic political situation in the UK to climb against the US Dollar in the third quarter of 2017. Boosted by a growing conviction that UK monetary policy was about to be tightened, it continued to make headway – admittedly helped by the persistent weakness of the Greenback – and in the fourth quarter, there’s no reason to expect that to change.

However, the technical outlook does not look as rosy as the fundamental picture painted. There is a cluster of wave relationships and resistance forming from about 1.37 to1.39. Therefore, GBP may have a fundamental advantage over many other currencies, but GBP/USD is ripe for large trending move lower.

Moreover, if the UK Government collapses completely and a new General Election is called and won by the Opposition Labour Party, the Pound would undoubtedly suffer.

Chart: GBP/USD Weekly Timeframe (September 2013 – September 2017)

GBP Forecast: Interest Rates Are the Key to the Pound’s Performance

Source link

قالب وردپرس



We hope you enjoyed reading the above post. How about helping us share the information to your fans and friends on social media? Meanwhile, you can rely on us daily for the latest and relevant free forex trading signals, free forex trading market news, free forex trading technical levels, weekly Pool draws, latest news from Nigeria and the world, educational articles and quality academic information, insurance news and scientific knowledge.



Do you need a classical ORGANIST or an excellent music teacher? CALL Fabian on 08033983034 or email him at agfab2013@gmail.com


Follow us on twitter @newsbeatportal

learn how to make profit from your losing bets on nairabet, bet9ja, merrybet, surebet. 07030635051
Engage #SantexTech today to build & install inverters, training on inverters & other electronic designs, projects/kits. Call 08039574535


Click to join Talk Nigeria Today, a group where hot, controversial, and breathtaking issues are brainstormed upon.

Konga Verified Blogger

Leave a Reply