Today, the market will focus is on a rate cut in Russia, sanctions against Turkey, and statements made by the leader of the Brexit party.
News
The Brexit party will not contest the majority of seats won by the Conservatives in the last parliamentary elections. Affects GBP
Q3 GDP growth rate of the UK has turned out to be lower than expected. Affects GBP
The Central Bank of Russia sees an opportunity to cut the key rate further. Affects RUB
EU foreign ministers have approved of economic sanctions over Turkey’s drilling off the coast of Cyprus. Affects TRY
Trump’s dry comments on the course of the trade negotiations increased pessimistic sentiment. Affects S&P500
Calendar
09:30 GMT
The UK releases data on jobless claims. Analysts expect a reading of 24.2K. In case of a higher result, the GBP will get under pressure.
10:00 GMT
The ZEW economic sentiment index comes out in Germany. Analysts expect a decline of 13.2 points. Any positive data will have positive impact on the EUR.
Technical analysis
GBP/USD
Nigel Farage, the Brexit Party leader announced his party would not contest Conservative party of Boris Jonhson at the parliamentary vote this December. He said there is some alliance of those who support the UK withdrawal.
Meanwhile, the GBP has strengthened against the USD. The asset might go up to 1,29400.
Basic dollar index
The index has broken the base line of the Double Bottom pattern, which implies the beginning of an uptrend.
Gold
The price went below the psychological level of 1460, which coincides with one of the Fibonacci retracements. We expect the downtrend to continue to 1410.
GBP/USD on this day in history
- Since 2000, November 12 has been a trading day 13 times.
- On 47% of those days, the asset ended with growth.
- The maximum reinforcement range was 0.8%
- The trend down was limited to 2.92%.