REASONS:
GBP: STRENGTHENING AGAINST AUD, NO DEAL BREXIT NOT EXPECTED BY MARKET
AUD: RBA INTEREST RATE HIKES PUSHED BACK FURTHER TO MID-2020
AUD: PRESSURED BY FALLING STOCKS AS IT IS A RISK CURRENCY
TECHNICALS:
INVERSE HEAD AND SHOULDERS
AT RESISTANCE, ABOUT TO BREAKTHROUGH TO UPSIDE POTENTIALLY
RISKS TO THE TRADE;
US-CHINA TENSIONS EASE AND A DEAL...
Reasons For The Trade (always Fundamental and Technical - always):
EUR: ECB tapering their bond buying, and end of QE now in sight and signalled to the market by Mario Draghi in last meeting.
EUR: recovering from losses from Italian political tensions in November (Italian Budget concerns now no longer a concern)
EUR: Any good or semi-good data will be...
REASONS:
EUR: INFLATION STUBBORNLY LOW
GBP: BREXIT AGREEMENT TO BACKSTOP SOON FINALISED
GBP: PARLIAMENT LIKELY TO VOTE ON AGREEMENT POSITIVELY
EUROZONE PRESSURED BY LACK OF GROWTH AND ITALIAN BUDGET ISSUES STILL NOT FINALISED
EUR MERKEL SOON LEAVING POWERE LEAVING UNCERTAINTY
TECHNICALS
RESISTANCE AT 0.9060 NOT BREAKING THROUGH
NEXT SUPPORT AT...
