GBPUSD is sliding downwards; the mid-term downtrend is getting stronger.
The British Pound is getting weaker and more helpless with each trading session – there is too much pressure around. The current quote for the instrument is 1.2930.
The key factor that is pushing the Pound remains the Brexit talks, because no progress was made and the current situation is still very uncertain.
Yesterday, the Deputy Governor for Monetary Policy at the Bank of England Benjamin Broadbent spoke. He said that he hadn’t decided yet whether he would attempt to succeed Mark Carney as the regulator’s next Governor. Apart from this, he believed that rescheduling the Brexit might have negative influence on investments, which wouldn’t be very good for the country’s financial system. At the same time, if the Brexit agreement were finally concluded, there might be outflows of invested funds from the United Kingdom. No matter which way you look at it, the situation wouldn’t be positive for money.
On Tuesday, the United Kingdom will report on the labor market. The Unemployment Rate is expected to remain unchanged at 3.9% in March, while the Average Earnings Index may add 3.4 3m/y, which is a bit worse than before. The Claimant Count Change may rise from 22.6K in March to 24.2K in April.
The stronger the numbers, the more support the British currency may get.
Forecasts presented in this section only reflect the author’s private opinion and should not be considered as guidance for trading. RoboForex bears no responsibility for trading results based on trading recommendations described in these analytical reviews.