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Free Access$1.3312 Again Thwarts Upside Progress. Market Awaits Definite Brexit Progress.
- GBP/USD broke above $1.3300 in early NY Wednesday but upside progress was again thwarted at recent high of $1.3312(Nov11)
- Rate reversed as risk lost recent shine on reports of COVID spread,.
- GBP/USD eased to $1.3265 ahead of the close.
- Risk remained under pressure into Asia which in turn provided further lift for the USD which eased cable to a low of $1.3224.
- Recovery efforts were capped below $1.3240 but underlying tone remains buoyant with hopes that a break through on current Brexit trade negotiations could be seen early next week(press).
- Reports suggest UK and Canada are close to a post-Brexit trade agreement, though no market reaction noted.
- Market waiting for something definite rather than speculative to provide sterling upside escape velocity.
- Times reports Europe leaders will demand the European Commission publish no-deal plans due to frustration on negotiation progress.
- Support noted into $1.3220, $1.3200-1.3190. Resistance $1.3312/20, $1.3340/50.
- CBI Trends released at 1100GMT.
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Why MNI
MNI is the leading provider
of intelligence and analysis on the Global Fixed Income, Foreign Exchange and Energy markets. We use an innovative combination of real-time analysis, deep fundamental research and journalism to provide unique and actionable insights for traders and investors. Our "All signal, no noise" approach drives an intelligence service that is succinct and timely, which is highly regarded by our time constrained client base.Our Head Office is in London with offices in Chicago, Washington and Beijing, as well as an on the ground presence in other major financial centres across the world.