Daily Report Nov 12th 2018: Pound Hit By Brexit Nerves

This morning, the ebbs and flows of Brexit confidence continue to weigh on the pound following the resignation of Jo Johnson from the cabinet over concerns about the government’s plans. Sterling has gapped lower across the board. The GBP/JPY slumped heavily on Friday with further selling this morning bringing the pair down to test the 147.00 level. The GBP/USD selling is more severe, with the pair well on its way to erasing the November 1st rally. Even the beleaguered euro is making gains against the pound, with the EUR/ GBP rally for the second day in a row.

The dollar index is resurgent following US mid-terms, with losses across the board for dollar pairs. The EUR/USD is testing the lows at 1.1300, marking four days of selling. The AUD/USD is also struggling for the third straight day.

The USD/CHF continues to head back to the highs, after the parity line held last week.

The USD/CAD is one exception, gapping lower on Canadian dollar strength on reports that Saudi Arabia will cut production.

The USD/JPY has continued to make gains and is holding above the 114.00 level. Other dollar pairs are mixed, with the GBP/JPY gapping lower, along with the EUR/JPY, while the AUD/JPY gapping higher.

Coming up today

It is a light day on the economic calendar, with public holidays for the US and Canadian dollar.

Trade Idea

The GBP/JPY is starting on its latest down swing and there could be further down side from here.

Nov 12th 2018: Pound Hit By Brexit Nerves

A good way to play this is a LOWER trade predicting that the GBP/JPY will close below 146.00 in 14 days for a potential return of 154%

Nov 12th 2018: Pound Hit By Brexit Nerves

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Disclaimer: This financial market report is intended for educational and information purposes only. It should not be construed as investment or financial advice and you should not rely on any of its content to make or refrain from making any investment decisions. The views expressed in this report are those of the author and do not necessarily reflect the views or position of Binary.com. Binary.com accepts no liability whatsoever for any losses incurred by users in their trading. Binary options trading may incur losses as well as gains.


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