GBP/USD – Week 4 – Weak UK Economy, weak sterling.
Updated
The latest UK PMI data expressed the ongoing weakness of the UK economy with the services index dropping further into contraction territory, while the bigger picture looked worse than the market expectations. Unfortunately, all these numbers point-out to a double-dip recession in the UK.
From a technical perspective, the Sterling rose against the US Dollar the whole week reaching April 2018 levels. However, the latest bullish move doesn’t have much fuel left and it should soon fall into a deeper consolidation before resuming its weekly uptrend.
Take notice that we might break the top one more time before the consolidation will start.
Trade with care.
Best regards,
Financial Flagship
Disclaimer: The analysis provided is purely informative and it should not be used as financial advice. Remember that you need a plan before you start trading; so, take this knowledge and use it as a guidebook that will ultimately help you understand the market and easily predict your
next move.
From a technical perspective, the Sterling rose against the US Dollar the whole week reaching April 2018 levels. However, the latest bullish move doesn’t have much fuel left and it should soon fall into a deeper consolidation before resuming its weekly uptrend.
Take notice that we might break the top one more time before the consolidation will start.
Trade with care.
Best regards,
Financial Flagship
Disclaimer: The analysis provided is purely informative and it should not be used as financial advice. Remember that you need a plan before you start trading; so, take this knowledge and use it as a guidebook that will ultimately help you understand the market and easily predict your
next move.
Trade closed manually
We still expect a bearish move to come
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