fundamental and technical breakdown of gbpusd
* The USD and JPY currency are both safe haven assets
* What is a safe haven asset? A currency that out performs when financial markets crumble;type of investment that is expected to retain or increase in value during times of market turbulence
* Many investors use xauusd as a safe haven as well, putting their money in gold when they have fear thus creating market manipulation
* Russia was apart of the Soviet Union was broken up in 1991 the country was separated so part of the country is in Europe and part of it is in Asia
* So that means GBP is affected by Russia’s actions
* Biden and other countries put sanctions on Russia’s banks which also makes the GBP weaker, thus creating a sell off on GBPUSD and GBPJPY on thrusday.
* JPY is a safe haven asset so if you place a sell on GBPJPY you are saying the GBP currency is weaker and placing a buy on JPY
* Same goes for GBPUSD. The British pound is weaker than the USD so you place a sell indicating you’re bullish on the dollar.
* Using technical analysis and the confirmations from the news lets you use a bigger lot size and trading with confidence
* What is a safe haven asset? A currency that out performs when financial markets crumble;type of investment that is expected to retain or increase in value during times of market turbulence
* Many investors use xauusd as a safe haven as well, putting their money in gold when they have fear thus creating market manipulation
* Russia was apart of the Soviet Union was broken up in 1991 the country was separated so part of the country is in Europe and part of it is in Asia
* So that means GBP is affected by Russia’s actions
* Biden and other countries put sanctions on Russia’s banks which also makes the GBP weaker, thus creating a sell off on GBPUSD and GBPJPY on thrusday.
* JPY is a safe haven asset so if you place a sell on GBPJPY you are saying the GBP currency is weaker and placing a buy on JPY
* Same goes for GBPUSD. The British pound is weaker than the USD so you place a sell indicating you’re bullish on the dollar.
* Using technical analysis and the confirmations from the news lets you use a bigger lot size and trading with confidence