GU moving in the channel. Should find support . Initiate a long at 1.2965 . Stop 1.2927 . TP 1.3100
My View Today, Sterling looks undervalued. Currencies for well developed economies tend to mean revert over long periods. For these economies, there are powerful forces that bring a currency back into balance after a selloff. The typical drivers of currency mean reversion now seem apparent for the U.K. If the law of mean reversion holds true, Sterling could get back to its long-term average in the coming years. Offsetting this view are several key factors, including a potential ‘hard Brexit’ that would severely impact trade between the U.K. and continental Europe. However, these impacts may be overstated, as some indicators suggest these risks have fallen.
Transaction en cours:
trade active