GBPUSD Analysis 16.01.2019

The Pound rose again after a sharp drop in yesterday's session following the vote on the BRC. Where we followed on Tuesday the British parliament vote to reject the British exit from the European Union and is expected to see later today a vote of no confidence from the government of Prime Minister British Prime Minister Teresa Mai amid growing opportunities for anarchic separation of the United Kingdom from the European Union or cancel the entire separation process during The next few weeks.

The Sterling Pound opened today with a slight movement at 1.2855 recording the highest of 1.2871 and the lowest of 1.2823 at the time of writing this report.

On the other hand, investors are looking ahead to the reading of the import price index, which may reflect a decline of 1.0% against 0.5% in November before we witness the release of housing market data with the housing index reading by the National Association of Builders Which may reflect a widening to 61 versus 60 in December.

The markets are also looking forward later today to unveil the Beige report, which is important in being issued two weeks before the FOMC meeting, one of the pillars on which the Fed's monetary policymakers build their decisions and attitudes to support and stimulate the US economy. That the next meeting of the next Federal Commission will be held on 29-30 of January.

Technical Analysis

GBPUSD rallied sharply after yesterday's sharp decline and approached our negative target at 1.2636 to settle above 1.2800 again, keeping the main bullish scenario intact for the coming period, awaiting a major visit to 1.2962.

Therefore, we are waiting for positive trading for the day provided that the price remains stable above the level of 1.2800.

The trading range for today is expected among the 1.2750 support and 1.2960 resistance

Support and resistance:

Support: 1.2779-1.2713-1.2638

Resistance: 1.2876-1.2961-1.2995

The general trend for today is bullish