GBPUSD Analysis 07.02.2019

The pound fell on Thursday against a basket of world currencies to continue its losses for the sixth day in a row against the US dollar, among the longest daily losses in 2019, hitting a two-week low as US currency continued to trade against most major and minor currencies, As investors await a quarterly report on inflation in Britain and the results of the first monetary policy meeting of the British central bank this year.

The pound fell against the dollar by 0.2% at 08:15 GMT, trading at $ 1.2905, the opening price of $ 1.2928 and the highest at $ 1.2944, and the lowest at $ 1.2897 since January 22.

On Wednesday, the pound lost 0.15% against the dollar, its fifth daily loss in a row, among the longest daily losses since August.

The dollar index rose 0.2% on Thursday, extending its sixth day in a row, reaching a two-week high of 96.32 points, reversing the greenback's rally against most major and major currencies.

Continued US currency purchases as the best current investment in the foreign exchange market, with strong prospects for the adherence of most of the central banks of global soft monetary policy and low-interest rates to address the economic slowdown.

Investors are looking at financial markets for a day of reports, decisions and important announcements from the UK, which are expected to have a significant impact on the GBP exchange rate against most of the world's currencies and will also affect the trading session of the London Stock Exchange.

By 12:00 GMT, the central bank is publishing its quarterly inflation report, which includes inflation expectations and growth in the royal economy over two years.

At the same time, the Bank of England releases monetary policy decisions and the Bank's members vote on this policy at the end of its first meeting in 2019. Most expectations indicate that the Bank will set interest rates at 0.75%, as well as keep the asset purchase program unchanged at EGP 435 billion Sterling per month.

By 12:30 GMT, UK central bank governor Mark Carney is commenting on the quarterly inflation report and monetary policy decisions.

Technical Analysis

GBPUSD remains steady below 1.2962, with negative pressure remaining for the coming period, and the price needs to exceed SMA 50, which is now supporting at 1.2890 to facilitate the move toward our next target at 1.2800.

Therefore, we will continue to bias the bearish trend in the coming sessions unless the level of 1.2962 is breached and stability above it.

The trading range for today is expected among 1.2840 support and 1.3000 resistance

The general trend for today is bearish