GBPUSD - The Opportunity Nobody Is Talking About [BREXIT]
As we enter into August of 2019 we are back to what is considered life time lows for the British Pound, seen previously in 2017 due to similar circumstances surrounding the issue of Brexit. To throw things into the mix, are we now entering the period where it's a good idea to begin buying GBPUSD?
If we look at the entire picture available as shown on the monthly chart provided, we are approaching the bottom of a valid Fibonacci that has been in play since 2009. This on it's own should be considered as it allows a tight stop loss to be used on such vast time frames, if we break below the current Fibonacci level then this current Fibonacci would simply be invalidated and therefore a good reason to close off your buy entry with a reasonable stop loss.
That is just one reason as to why you should consider buying the British Pound, I have outlined a few more below:
1. Whilst we are at risk of a no deal, this hasn't been confirmed and the EU have recently admitted that they will be worse off with a no deal. October has been confirmed as the deadline which will not change this is causing the pressure required to get a resolution.
2. The USA is approaching a new era in terms of its currency index with the Dollar being in more danger than ever of a huge decline. This was hinted with the recent rate cut drama, regardless of how little it was, this hasn't happened in ten years. There is already a noticeable transfer of wealth being taken away from the DXY and put into commodities and other safe havens.
3. The British Pound is somehow still regarded as one of the worlds best performing currencies even in 2019. History shows that Britain is known to bounce back when the odds are against it thanks to its political relationship with a lot of first world economies.
4. The UK and USA Trade deal is a huge opportunity for the British Pound and will likely be verbally agreed in the short to mid term future.
If we look at the entire picture available as shown on the monthly chart provided, we are approaching the bottom of a valid Fibonacci that has been in play since 2009. This on it's own should be considered as it allows a tight stop loss to be used on such vast time frames, if we break below the current Fibonacci level then this current Fibonacci would simply be invalidated and therefore a good reason to close off your buy entry with a reasonable stop loss.
That is just one reason as to why you should consider buying the British Pound, I have outlined a few more below:
1. Whilst we are at risk of a no deal, this hasn't been confirmed and the EU have recently admitted that they will be worse off with a no deal. October has been confirmed as the deadline which will not change this is causing the pressure required to get a resolution.
2. The USA is approaching a new era in terms of its currency index with the Dollar being in more danger than ever of a huge decline. This was hinted with the recent rate cut drama, regardless of how little it was, this hasn't happened in ten years. There is already a noticeable transfer of wealth being taken away from the DXY and put into commodities and other safe havens.
3. The British Pound is somehow still regarded as one of the worlds best performing currencies even in 2019. History shows that Britain is known to bounce back when the odds are against it thanks to its political relationship with a lot of first world economies.
4. The UK and USA Trade deal is a huge opportunity for the British Pound and will likely be verbally agreed in the short to mid term future.