This information has been prepared by IG, a trading name of IG Australia Pty Limited. In addition to the disclaimer below, the material on this page does not contain a record of our trading prices, or an offer of, or solicitation for, a transaction in any financial instrument. IG accepts no responsibility for any use that may be made of these comments and for any consequences that result. No representation or warranty is given as to the accuracy or completeness of this information. Consequently any person acting on it does so entirely at their own risk. Any research provided does not have regard to the specific investment objectives, financial situation and needs of any specific person who may receive it. It has not been prepared in accordance with legal requirements designed to promote the independence of investment research and as such is considered to be a marketing communication. Although we are not specifically constrained from dealing ahead of our recommendations we do not seek to take advantage of them before they are provided to our clients.
GBP/USD consolidating at key support level
GBP/USD has managed to remain above the $1.2823 support level this morning, following a fall into the crucial $1.2723 support level.
The bearish trend looks likely to sustain given the rising likeliness of a harder form of Brexit, with UK Prime Minister Theresa May’s proposal failing to gain much traction. A break below the $1.2723 level could provide us with a good selling opportunity, utilising this recent rebound to place a stop above. We would need to see a break through the $1.2927 mark to provide a more bullish outlook for the pair.