(DAILY NOTION) GBP/USD- British Pound Gains Amid Brexit Optimism, Next Mover: Brexit negotiation

Source: tradingview

GBP/USD pair is trying to settle above the resistance at 1.3400. The UK reported its GDP yesterday which grew by 16% q-o-q as compared to analyst forecast growth of 15.5%. The Q3 U.S. GDP growth rate grew by 33.4%, better than the analyst forecast growth of 33.1%.

Forex traders will be focus on Brexit negotiation today. Michel Barnier, the EU negotiator stated that the EU were giving final push in order to reach the a deal. At this point, the main obstacle for the negotiation is the fisheries which block on the way to the deal. However, recent report stated that it is possible for UK and EU to close the deal before Christmas which will push the British pound upwards.

The RSI indicator indicate that the GBP/USD pair is in the moderate territory and it has a chance to gain upward momentum. Analyst suggested that the next resistance level is at 1.3575 if GBP/USD settle above the resistance level of 1.3540. On the other hand, GBP/USD will get to test the next support level at 1.3300 if it move below the support level of 1.3400.

FOLLOWME GBP/USD Overall Sentiment (As of 03:40 p.m, Dec 23, 2020),

Short - 52.39%

Long - 47.61%