Pound & easing global monetary policy

Yesterday, quite unexpectedly, a block of economic data on GDP and industrial production, instead of already traditional disappointment, provided an occasion for optimism.

In July UK GDP grew by 0.3% (expected to grow at 0.1%), while industrial production instead of a decline by 0.3% (expert forecasts) went to the positive zone ( + 0.1% ).

Monday following Johnson’s next parliamentary defeat in a few days. His next attempt to initiate an early election failed. come into effect Law against "no-deal" Brexit came into effect.

Not surprisingly, the pound continued to grow against such a background. Our position on the pound is unchanged: we are looking for points for purchases. But with small stops, because the situation with Brexit can develop quite dynamically.

Meanwhile, the markets are preparing for a wave of rate cuts by leading central banks of the world. On Friday, the Bank of China lowered the rate by 0.5% to the lowest level since 2007. In this light, the decision of the ECB on Thursday is becoming more significant and significant. Recall next week the Fed, the Bank of Japan and the Bank of Switzerland will announce their decisions. So the upcoming two weeks promise to be full of news.

Strengthening of the Russian ruble in the foreign exchange market is a good opportunity to begin the formation of a medium-term purchase cycle with USDRUB. Current prices are the starting point of the cycle. The next one is 63.60 and the final one is about 62.50.

And finally, buying gold from current prices seems to be a very good trading opportunity. Recall it is worth buying with stops.