GBP Down vs other currencies (BoE interest Rate & QE in Focus)

GBP Down vs other currencies (BoE interest Rate & QE in Focus) Sino ba naman ang mag-aakala na biglang bumagsak ang GBP (British Pound)? Sa ordinaryong Trader na kagaya ko, wala talaga sa aking radar na tingnan ang sitwasyon ng GBP kasi wala naman akong nakitang dahilan na silipin it.
As usual naka monitor lang tayo always sa website natin hanggang sa napasilip ako saglit sa Technical Summary ng ating website. Doon ko napansin na medyo mapula ang data nito. Kaya doon ko natuklasan na GBP ang dahilan nito.

These are the news we found before the event;

👉 GBP/USD is awaiting the Bank of England's rate decision. The "Old Lady" is set to boost its bond-buying scheme by around £100 billion while leaving its rates unchanged. - Hints about taking borrowing costs below zero are eyed. The meeting minutes will also be watched. 
👉 UK Prime Minister Boris Johnson will meet French President Emmanuel Macron amid efforts to revive Brexit talks. While the European Commission is reportedly readying compromises on fisheries, Britain is preparing a "Shock and Awe" plan for a no-deal. 
👉 Germany is also urging members to prepare for such an outcome.US Trade Representative - Robert Lighthizer cast doubt that a US-UK trade deal can be achieved by year-end. 



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Key points we need to know:

The Bank of England expanded its Assets Purchase  Programme by £100 billion to £745 billion as expected, leaving rates on hold at a record low of 0.1%. BOE’s Governor Andrew Baile said that the decision on negative rate is not in any sense imminent. He also said that “evidence suggests economic downturn has not been as severe as in May scenario but let's not get carried away." The GBP/USD pair advanced towards 1.2560 but was unable to hold on to gains, accelerating its decline during US trading hours amid resurgent demand for the safe-haven dollar.



In light of the recent price action, Cable could now extend the decline to the 1.2320 level, suggested FX Strategists at UOB Group.

From here, GBP is expected to stay under pressure unless it can move above 1.2550 (‘strong resistance’ level). Until then, GBP could decline towards 1.2320, possibly as low as 1.2270. Overall, the current weak phase in GBP is viewed as a deeper pullback and not the start of a major reversal.”