By IFCMarkets
Preparing for macroeconomic data release
A downward movement means weakening of the British pound. Brexit could negatively affect the British economy. Important macroeconomic data for January will be released in the UK this Wednesday: Construction Output, Industrial Production, Manufacturing Production, Monthly GDP, Trade Balance and others. All forecasts are negative, which may adversely affect the dynamics of the pound. Note that the rate of the Bank of England is 0.75%, which is much less than annual inflation of 1.8%. According to interest-bearing futures, with 100% probability the Bank of England will lower the rate to 0.5% at the next meeting on March 26. Let us recall that on March 18, the next round of negotiations on Brexit begins, which may affect the dynamics of the pound.
| Indicator | VALUE | Signal |
|---|---|---|
| RSI | Neutral | |
| MACD | Sell | |
| MA(200) | Sell | |
| Fractals | Neutral | |
| Parabolic SAR | Sell | |
| Bollinger Bands | Sell |
Summary of technical analysis
| Order | Sell |
| Buy stop | Below 1,358 |
| Stop loss | Above 1,408 |
Market Analysis provided by IFCMarkets
