{"id":145528,"date":"2019-04-10T09:01:22","date_gmt":"2019-04-10T13:01:22","guid":{"rendered":"https:\/\/www.countingpips.com\/?p=145528"},"modified":"2019-04-10T08:37:22","modified_gmt":"2019-04-10T12:37:22","slug":"gbp-traders-await-eus-brexit-decision","status":"publish","type":"post","link":"https:\/\/www.investmacro.com\/forex\/2019\/04\/gbp-traders-await-eus-brexit-decision\/","title":{"rendered":"GBP Traders Await EU\u2019s Brexit Decision"},"content":{"rendered":"
April 10, 2019<\/div>
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By <\/strong>Orbex<\/strong><\/a><\/p>\n

GBP Traders Waiting For EU Decision on Brexit Extension<\/strong><\/h2>\n

GBPUSD trading has become very stagnant over recent days as traders await the outcome of the current round of Brexit negotiations. The\u00a0UK is due to leave the EU on Friday,<\/strong>\u00a0though it now looks like the PM\u2019s further extension request will be granted by the\u00a0EU. Leaders are meeting today to discuss the situation.<\/strong><\/p>\n

May has asked for an extension until June, though the EU is reportedly considering offering a one-year extension. Such an outcome would likely be a big boost for GBPUSD which is still languishing at the bottom of the 1.30 \u2013 1.33 range.<\/p>\n

US CPI & FOMC Minutes in Focus<\/strong><\/h2>\n

Over the European morning on Wednesday, the\u00a0US Dollar continued its drift lower,<\/strong>\u00a0posting a third consecutive day of red, as of writing. The USD index is now challenging the 96.57 with a very heavy tone to the day\u2019s trading. Looking ahead to today\u2019s US session, there is plenty of event risk.<\/p>\n

Both the\u00a0March CPI and\u00a0March FOMC meeting<\/a><\/strong>\u00a0minutes are due for release. CPI is expected to improve from last month\u2019s reading, while the FOMC minutes are expected to pour further light on the current state of the US economy. So, we could have a mixed USD outcome from today\u2019s data.<\/p>\n

Test your strategy on how the USD will fare with Orbex \u2013 Open Your Account Now.\u00a0<\/strong><\/a><\/p>

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EUR Higher on Weak USD<\/strong><\/h2>\n

EURUSD continues to take advantage of a weaker USD. Despite ongoing concerns around the health of the eurozone economy, as well as the\u00a0uncertainty from Brexit,<\/a>\u00a0EUR has risen against USD today, trading up to 1.1278 last.<\/p>\n

Today, traders are waiting for the\u00a0ECB\u2019s April meeting<\/strong>\u00a0which could see the bank introducing a tiered deposit scheme for banks while reaffirming its view of concern regarding the economy and the need for rates to stay on hold.<\/p>\n

Better Risk Appetite Boosts Equities<\/strong><\/h2>\n

Equities prices are trading a little higher<\/strong>\u00a0today, following a pullback yesterday. USD weakness along with the prospect of Brexit being delayed by a year have\u00a0boosted optimism<\/strong>\u00a0once again, leading to better risk sentiment. SPX500 traded 2883.68 last, still well above the 2860.11 support level.<\/p>\n

Safe Havens Mixed<\/strong><\/h2>\n

Gold prices<\/strong>\u00a0have continued their recent\u00a0winning streak into a fifth consecutive day<\/strong>\u00a0today as a weaker USD allows the recovery to continue. Price is now trading 1304.05, sitting just below yesterday\u2019s session highs. A weak CPI print or further dovishness from the FOMC minutes tonight could provide the platform for a proper move higher in gold.<\/p>\n

Despite the weaker USD,\u00a0USDJPY t<\/strong>raded a little higher<\/strong>\u00a0though likely as a result of technical buying off the 111.10 level support. The FOMC minutes later will be key in determining which way price breaks from here.<\/p>\n

Traders Await EIA Report<\/strong><\/h2>\n

Oil prices, while still up on the week, saw a retracement lower yesterday as the\u00a0weekly API report indicated a further build in US crude stocks.<\/strong>\u00a0However, price has since recovered and is trading in the green again ahead of the weekly\u00a0EIA report due later today.<\/strong>\u00a0For now, price is sitting just under the 64.36 level resistance.<\/p>\n

Commodity Currencies Still Mixed<\/strong><\/h2>\n

The commodity currencies are mixed again today as, despite the continued rally in oil and weakness in USD,\u00a0USDCAD rose again today.<\/strong>\u00a0After testing the 1.3294 support yesterday and briefly piercing the level, buyers have stepped in to take price back up for now.\u00a0AUDUSD, however, is higher<\/strong>\u00a0today and is once again testing the .7147 resistance which, if broken, will put focus onto the .7237 level next.<\/p>\n

By <\/strong>Orbex<\/strong><\/a><\/p>\n

 <\/p>\n","protected":false},"excerpt":{"rendered":"

By Orbex GBP Traders Waiting For EU Decision on Brexit Extension GBPUSD trading has become very stagnant over recent days as traders await the outcome of the current round of Brexit negotiations. The\u00a0UK is due to leave the EU on Friday,\u00a0though it now looks like the PM\u2019s further extension request will be granted by the\u00a0EU. […]<\/p>\n","protected":false},"author":3,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[],"tags":[],"class_list":["post-145528","post","type-post","status-publish","format-standard","hentry","no-post-thumbnail"],"_links":{"self":[{"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/posts\/145528","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/users\/3"}],"replies":[{"embeddable":true,"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/comments?post=145528"}],"version-history":[{"count":2,"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/posts\/145528\/revisions"}],"predecessor-version":[{"id":145533,"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/posts\/145528\/revisions\/145533"}],"wp:attachment":[{"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/media?parent=145528"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/categories?post=145528"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/tags?post=145528"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}