GBPUSD Analysis -- May 26, 2019
Whats up Enthusiastic Currency Analysts?
Hereby we Introduce the First of many, Trading Long Term In Depth Fundamental & Technical Analysis!
This week I've Chosen GBPUSD.
Some little facts to start us off, GBPUSD, also known as Cable has an average daily range of around 90 pips, making this a medium volatile pair.
The pair has been very interesting from a fundamental standpoint. Since the start of Brexit we've seen that the volatility has risen in comparison to before. Before the change this pair was similar in volatility and speed compared to EURUSD but the Market Dynamics and how this pair should be traded has changed.
Once we go a little in to the technical side we can see that finally after a downward surge of approximately 600 pips price has found an area of stalling in the strong 1.26 area.
The sudden spikes last week were from Theresa May announcing her resignation as party leader on the June 7th, 2019. Theresa May has been in politics since 1997 and she has been Prime Minister since the July 13th, 2016.
With Theresa May quitting and the hope of Brexit finally coming together I see The Market sentiment changing a bit again. Last week spoke volume, based on how the buyers reacted on the news of Theresa May Resigning.
Therefore I see Cable accelerating to the upside retesting the 1.28 handle, before possible continuing lower.