The sterling is trending lower lately as fears of a no-deal Brexit reemerge because the talks have stalled, the March 29 deadline is getting closer, and the two sides still haven’t reached a consensus on the key Irish border issue. Against this backdrop, traders prefer to exit longs in the cable though profit-taking proceeds in a measured and cautious manner.
On Thursday, investors will temporarily shift focus from Brexit and switch to the Bank of England’s ‘Super Thursday’. The will announce its decision on rates, publish its meeting minutes and the quarterly report. Given the lingering uncertainty surrounding Brexit, traders will pay a special attention to the officials’ comments regarding the effect from the divorce process for the economy and . Should Carney mention economic risks, GBPUSD could go even lower.