Yesterday the UK Government tripped up the national currency. Her Majesty's Treasury lowered its economic growth forecast from 2% to 1.5% for this year and expects the slowdown to continue in the coming years. The future of investment and business is questionable because of Brexit.
In the European morning, the pair continued falling. The pair broke the 1.33 level, and it seems unlikely that the bulls have been invited to this party. GBP-bulls really need a closure above this mentioned support turned resistance now.
Today PM May goes to Brussels with a new offer for the EU. The Sterling’s fate depends on the EU reaction. Any decline below the 1.3230 level will offset all previous gains and deteriorate the short-term technical picture.