Pound Losing Market Value

The Pound held weaker in Asia today ahead of the June 8th election as investors await opinion polls results. The currency dropped by 0.27 percent against the U.S. dollar and hence the GBP/USD pair traded at $1.2806. The dollar however remained firm against other major currencies on Tuesday even though the euro and the pound sterling were pressured by political uncertainties as U.S. and U.K. markets return back to normal after holiday.

source: CNBC, Investing.com

Gold edged higher in Asian trade as investors are still looking forward to China’s PMI data. Gold futures rose by 0.14 percent at $1,269.91 a troy ounce. Overnight, gold prices neared a four-week high even though trading activity slowed around the globe on Monday. Markets in China and Hong Kong are closed for holidays today. Germany will present its Consumer Price Index for May at 12:00 GMT.

Event taking place in the U.S. Tuesday is the CB Consumer Confidence for May, due at 14:00 GMT, following which the data can provide predictions on consumer spending and U.S. dollar trends. Elsewhere, the Governor of the Reserve Bank of New Zealand Wheeler will deliver a speech at 23:00 GMT. Microsoft researchers want to humanize voice-powered virtual assistants similar like Apple’s Siri and Amazon’s Alexa. These will be present on devices, watches, meeting updates and in cars to provide driving directions, amongst many other services.

Technical Analysis

EUR/GBP

EUR/GBP

Since yesterday, this currency pair is seen inclining towards a downtrend recording huge sets of pullbacks. It started losing momentum as from 10:00 UTC at the 0.87126 level to end this bearish trend by 15:00 UTC at the 0.87030 level on Monday. Its lowest level was at the 0.86839 level at 23:00 UTC yesterday. Today, the asset tumbled as from 01:00 UTC around 0.86945 level. It is expected to consolidate through today.

GBP/USD

GBP/USD

The GBP/USD pair was seen recording several bullish candles on Monday and reached its highest level at $1.28458 around 12:00 UTC. However, the asset shifted to a downtrend as from 21:00 UTC, where it was quoted at $1.28392. In today’s early trading hours, the currency pair was seen much volatile and it is expected to maintain this trend through the rest of the day, consider 60-Seconds trading for this one.

USD/JPY

USD/JPY

The asset recorded much fluctuations as from 10:00 UTC till 21:00 UTC yesterday, making it difficult to decipher future indications. Today, the session started off bearishly at 00:00 UTC at 111.188 yen, down by 0.12 percent. Around 02:00 UTC, the pair was quite volatile on the forex market. Events due later during the day could change its trend, keep an eye.

Things to watch on the market

Tip 1

Currency pairs such as the GBP/JPY, GBP/CAD, EUR/GBP, AUD/USD would be a good opportunity to trade on any tools available on the platform as election results might affect the pound sterling further.

 

Tip 2

Since Gold remains in the limelight with rising prices, pairs such as the Gold vs Silver and Gold vs Oil can be traded with the Pairs Trading.

 

Tip 3

The EUR/USD, USD/JPY, NZD/USD, and the EUR/NZD pairs are recommended with the Classic Binary tool.