GBPUSD Analysis 18.12.2018

The royal currency fluctuated in a narrowly bullish range during the US session to see its rebound to a third session in four sessions from its lowest since April 11, 2017 against the US dollar following developments and economic data that followed Monday on the RBA and its economy The largest economy in the world.

The UK's RTI saw a contraction of 1.5% from 1.7% last November, while the same reading showed a 0.7% rise from 0.2% in the previous year's reading. Before seeing the statements of British Prime Minister Theresa Mae's spokeswoman, James Slack, in which he said the parliament was to vote on a British exit from the European Union in January.

Slack also noted that the British cabinet would discuss preparations for the UK's exit from the EU without reaching an agreement on an orderly exit with the EU. The British Prime Minister Mai received assurances from European leaders last week, but there is still more, A vote in Parliament on the options of the exit agreement, adding that she believes that the current exit agreement is the only agreement available to Britain.

On the other hand, we followed the US economy reading the New York Industrial Index, which shows a contraction of 10.9 to 23.3 in November, worse than expected at 20.1, before we saw the release of housing market data with the housing index reading from Ahead of the National Association for Home Building, which showed a widening gap to 56 versus 60 in November, beyond expectations at 61.

Technical Analysis

GBP / USD is testing a new level of 1.2636 and maintains stability below it, keeping the bearish scenario intact for the coming period, supported by the stochastic loss of the positive momentum gradually, along with the negative pressure formed by SMA 50, In principle.

A break of 1.2636 will push the pair to achieve positive targets starting at 1.2725 then 1.2820.

The trading range for today is expected among 1.2500 support and 1.2700 resistance

Support and resistance:

Support: 1.2495-1.2405-1.2350

Resistance: 1.2638-1.2713-1.2875

The general trend for today is bearish