On 16th July, Pound break 1.2400 which is the lowest price in 27 month. Since March of this year, Pound has experienced a clear decrease trend.
Sterling dropped yesterday due to disagreement with the so-called Northern Irish backstop element of Theresa May’s Brexit deal. Beyond that, U.S. retail sales data is much better than expectation, which led a increase of Dollar.
The uncertainty of a no-deal Brexit will give a pressure of Pound. BOE face the possibility of cut interest rate due to economic pressure. These two reason will continue affect Pound until one of them has a decision.&nbsp;
In technical analysis, Pound has reached to the bottom of Bollinger Bands, it may has a little rally recently. RSI is 32 at the moment, which indicate a strong sell.&nbsp;

Pound face to a strong stress as a potential harder Brexit stance

Dec 01 2020

1

2