Category: Featured

Dear Trader,

The polls have closed and election night is upon us. There are 650 seats in the House of Commons up for grabs, meaning the winning party needs 326 to claim a majority.

Europe’s shared currency pencilled in a reasonably solid performance against the buck Tuesday, adding more than 28 points, or 0.26%. Upbeat ZEW metrics for Germany, nevertheless, failed to excite traders.

Europe’s shared currency concluded narrowly mixed against the buck Monday, underpinned by H4 support priced in at 1.1055 and a 50.0% retracement ratio at 1.1048. Beneath here, traders’ crosshairs are likely fixed on December’s opening value at 1.1023 that aligns closely with a trend line resistance-turned support, taken from the high 1.1173

In view of GBP/USD bulls enhancing their position, the resistance area at 1.3019-1.2975 yielded ground, as did Quasimodo resistance at 1.3102 (both now acting supports).

The British pound continued to flex its financial muscle against the US dollar Thursday, ascending to a fresh peak of 1.3166 and adding 0.41%. Underpinned by a clear Tory lead on Labour, with latest polls maintaining the differential at 10 points, GBP/USD trades at approximately 2.00% on the week.