Monetary Policy Summary: Thursday, 11:00. This monthly report discusses the bank’s economic outlook and could provide clues of future monetary moves.
Official Bank Rate: Thursday, 11:00. The BoE is expected to maintain the benchmark rate at 0.25%, where it has been pegged since July 2016. The estimate for the vote at the last meeting is 3-0-5 (three members in favor of a hike, five in favor of no change).
Asset Purchase Facility: Thursday, 11:00. No change is expected in the asset-purchase scheme, which is currently at 435 billion pounds. The estimate for the vote at the last meeting is 0-0-8.
GBP
- EURUSD
Update: The pair is on its way to reach the level of 1.1900 as the first target (1.1800) was hit. As could be seen on the chart above that the pair is traded right above a strong support level that could be found around the level of 1.1774 so we believe that as long as the pair is traded above it, it is highly recommended to go long targeting the level of 1.1800 followed by 1.1900. On the other hand, breaching the level of 1.1774 would open the door for further downward movements during the week that the pair may reach the level of 1.1500.
| Resistance levels: | Support levels: | Recommended: |
| ▪ 1.1900 ▪ 1.1800 ▪ |
▪ 1.1540 ▪-1.1250 ▪ 1.1200 |
We remain bullish as long as the pair is traded above the level of 1.1774. |
- GBPUSD
Update: We remain bullish as the pair is still traded above the level of 1.3125. As could be seen on the chart above that the pair is traded right above a strong support level that could be found around 1.3125. So, we believe that as long as the pair is traded above it, it is highly recommended to go long targeting the level of 1.3300.
| Resistance levels: | Support levels: | Recommended: |
| ▪ 1.3200 ▪ 1.3300 |
▪ 1.2900 ▪ 1.2800 ▪ — |
We remain bearish as long as the pair is traded below the level of 1.3125 |
- GOLD
Update: Today’s close is very important. If the pair managed to close below the level of 1265 then it would be very bearish for the pair that it may go down to reach at least 1258. The pair is traded above a strong support level that could be found around the level of 1265. We believe that as long as the pair is traded above it, it is highly recommended to go long targeting the level of 1280 followed by 1290. This is conditioned by the continuation of trading above the level of 1265.
| Resistance levels: | Support levels: | Recommended: |
| ▪ 1270 ▪ 1265 ▪ 1250 |
▪ 1220 ▪ 1210 ▪ 1200 |
We remain bullish as long as the pair is traded above the level of 1265 |
- AUDUSD
Update: the pair started going down as could be seen on the chart above. The pair successfully managed to reach the level of 0.8000. So, we believe that as long as the pair is traded below it, it is highly recommended to go short targeting the level of 0.7900 followed by 0.7800. This is conditioned by the continuation of trading below the level of 0.8000.
| Resistance levels: | Support levels: | Recommended: |
| ▪ 0.8000 ▪ |
▪ 0.7700 ▪ 0.7600 ▪ 0.7500 |
Waiting for the pair to reach the level of 0.8000 |
- GBPJPY
Update: We are still waiting for the pair to reach the uptrend line. The level of 148 remains solid and we also have a strong support level that is the uptrend line shown on the chart in red. The pair may continue going down to reach the uptrend line, then a pullback is expected if it shows some positive factors to reach again the level of 148.
| Resistance levels: | Support levels: | Recommended: |
| ▪ 148 ▪ 147.95 ▪ |
▪ 143 ▪ 142 ▪ 140 |
Waiting for the pair to reach the up trendline. |
