GBPUSD under pressure from UK economy
Updated
Foreign exchange strategists at JP Morgan are sellers of the Pound, saying it is only a matter of time before a more protracted pullback plays out in response to deteriorating economic growth fundamentals.
The lack of GBP appreciation on the back of the shockingly high inflation print in the UK signalled that the sterling reaction function may be shifting given the growth implications
But Locke notes UK housing metrics are continuing to deteriorate, which comes against a backdrop of very high and sticky inflation
This will have a big impact on GBPUSD . Most likely it will have a drop around 1.2410-1.2430 and will come back
GBPUSD BUY LIMIT 1.2410-1.2430
✅𝖳𝖯1 1.2460
✅𝖳𝖯2 1.2500
✅TP3 1.2550
🛑𝖲𝖫 1.2370
The lack of GBP appreciation on the back of the shockingly high inflation print in the UK signalled that the sterling reaction function may be shifting given the growth implications
But Locke notes UK housing metrics are continuing to deteriorate, which comes against a backdrop of very high and sticky inflation
This will have a big impact on GBPUSD . Most likely it will have a drop around 1.2410-1.2430 and will come back
GBPUSD BUY LIMIT 1.2410-1.2430
✅𝖳𝖯1 1.2460
✅𝖳𝖯2 1.2500
✅TP3 1.2550
🛑𝖲𝖫 1.2370
Note
HIT FULL TP 3 +140 Pips ✅✅✅
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