We could be a kicking off the week with a lot of GBP movement if there is a new trade deal reached between the UK and Europe over the Northern Ireland Protocol. Today, Dominic Raab (the UK Deputy PM) told the BBC that the 'UK is on the cusp' of securing a new Brexit deal on Northern Ireland.
I'm also seeing GU decline slowing and possibly at the end of it's retracement, DXY also seems to be slowing (it doesn't seem to matter how well their economy is doing, the bears seem to be in control for now), so I'm looking for longs on this pair at the start of next week. We should test recent highs around 1.24 and a break through would open the door to test the 1.26's.
If a new Brexit deal is reached this weekend I expect a quick uplift, but I think 'being close to a deal' is enough to see this pair grow over the coming days.
This trade gives a 1:3 RR minimum if it works out, I'll be keeping a close eye on the news and the Asian open later!
Order cancelled
⋅
Probably not going to take this trade, agreement has been reached with Europe, but it seems like there is still a lot to do, meanwhile US Data is very very strong, I'll keep it ear-marked.