When Politics collides with Forex
When two big political figures in British politics collide on an issue you know the ripple effect will be felt in multiple Forex pairs. So we are patently watching GBP/USD to see one of two things: a solid support level, a breakout to the downside. Support right now is firmly in the 1.405-1.407 range and anything with a lower close would mean an opening further down and on our charts you have to go all the way back to early 2009.
Lowest Low, Lowest Close
We are attempting a monthly close below the lowest ever (March 2009) at 1.4276 which could change the tone for GPB/USD in the near future. Until then we will just watch to see if a bottom/support makes way or a break to the downside becomes the new normal.
Guest post by Max Stewart of StructureTrade.com