GBP/USD Outlook (22nd January 2019)

• British Average Earnings Index 3m/y
  
• British Unemployment Rate
  
• Brexit uncertainty
  

Price Movement
Since yesterday, GBP/USD has been more on the bearish side.

Trend
GBP/USD is trending upwards.

Macro Background
Average Earnings Index, a leading indicator of consumer inflation that measures the change in the price businesses and the government pay for labor (including bonuses), is expected to remain the same as previous month.

Unemployment Rate, a measure of the percentage of total work force that is unemployed and actively seeking employment during the past 3 months, is expected to remain the same as previous month.

Despite the importance of the data to be released, GBP/USD’s movement may be muted by the uncertainty of Brexit.

Important Issue
Last night, British Prime Minister Teresa May’s announcement of her Brexit Plan B led to the disappointment of many as her Plan B is very similar to the initial Plan A.

Technical
GBP/USD tested and rejected the 1.29 level.

Price Levels
Current Price: 1.28625
Next Support: 1.27431
Next Resistance: 1.30000