GBPUSD has gained over two percent to breach 1.35, reaching its highest level since May 2018, as the UK election’s exit polls show the Conservatives winning a clear majority. The Pound is also currently at its strongest level versus the Euro since June 2016, with Sterling also gaining against all other G10 currencies. If the official results indeed prove as much over the coming hours, a Conservative majority would pave the way for Boris Johnson’s Brexit deal to be approved in parliament by end-January 2020, while alleviating concerns over the UK’s economic outlook.
However, once the initial euphoria settles, investors are then likely to turn their attentions to the transition period that the UK needs in order to formulate its future relationship with its largest trading partner, the European Union. That could make for another bumpy ride for the Pound in 2020. At least Sterling bulls can enjoy their time in the sun now, while knowing that the support level for GBPUSD has been raised significantly, given that the UK election risk has passed.
MyFxtops 邁投 (www.myfxtops.com) -Reliable Forex Copy Trade community, follow the master for free to trade!
Disclaimer: This article is reproduced from the Internet. If there is any infringement, please contact us to delete it immediately. In addition: This article only represents the personal opinion of the author and has nothing to do with Mato Finance The originality and the text and content stated in this article have not been confirmed by this site. The authenticity, completeness and timeliness of this article and all or part of the content and text are not guaranteed or promised. Please refer to it for reference only Verify the content yourself.
Copyright belongs to the author.
For commercial reprints, please contact the author for authorization. For non-commercial reprints, please indicate the source.
