GBP/USD is to fall in next months with likely no Brexit deal
Selling GBP/USD due to technical and fundamental analysis.
On the technical side, we can see the downtrend channel forming.
Fundamental says next:
Theresa May did not manage with Brexit deal and left her prime minister seat and now there are 2 main candidates to replace her. It is Boris Johnson and Jeremy Hunt.
Johnson has pledged to leave the European Union on October 31 with or without a deal. The EU has said it will not renegotiate the divorce deal that May agreed last year and the British parliament has indicated it will block a no-deal exit.
On the other hand, Jeremy Hunt an opponent of leaving the European Union who has now promised to exit with a deal, cast himself as the underdog.
Betting markets gave Johnson a 92 percent probability of becoming prime minister and Hunt just 7 percent.
In my opinion, we should be ready to short GBP. Analysts agreed that after no-deal exit GBP/USD will plunge at least to 1.20 level.
The first take profit level is for aggressive traders.
The second one is for conservative. It will be updated considering the political situation in Great Britain.
On the technical side, we can see the downtrend channel forming.
Fundamental says next:
Theresa May did not manage with Brexit deal and left her prime minister seat and now there are 2 main candidates to replace her. It is Boris Johnson and Jeremy Hunt.
Johnson has pledged to leave the European Union on October 31 with or without a deal. The EU has said it will not renegotiate the divorce deal that May agreed last year and the British parliament has indicated it will block a no-deal exit.
On the other hand, Jeremy Hunt an opponent of leaving the European Union who has now promised to exit with a deal, cast himself as the underdog.
Betting markets gave Johnson a 92 percent probability of becoming prime minister and Hunt just 7 percent.
In my opinion, we should be ready to short GBP. Analysts agreed that after no-deal exit GBP/USD will plunge at least to 1.20 level.
The first take profit level is for aggressive traders.
The second one is for conservative. It will be updated considering the political situation in Great Britain.
Trade active:
This is the main idea, the second one was for a test.