Home GBP/USD: Likely To Extend Towards 1.35 On A Troy Majority Victory – MUFG
Daily Look

GBP/USD: Likely To Extend Towards 1.35 On A Troy Majority Victory – MUFG

How much is a Conservative victory priced in? Not that much, as it may extend its gains.

Here is their view, courtesy of eFXdata:

MUFG Research discusses GBP/USD outlook after the UK elections on Dec-12.

We expect the polls to prove accurate and for Boris Johnson to win a majority and then for the UK to leave the EU on schedule on 31st January 2020,” MUFG notes.

Following a Tory majority election victory in December, we would certainly expect GBP to break higher and into a 1.3000-1.3500 ranger versus USD. A brief move even higher is possible.

However, we see greater risks of GBP correcting lower in H2 2020  as no-deal risks at the end of 2020 possibly increase if the Tory government sticks to its promise and does not extend the transition period from the end of 2020,” MUFG adds.

For lots  more FX trades from major banks, sign up to eFXplus

By signing up for eFXplus via the link above, you are directly supporting  Forex Crunch.

Yohay Elam

Yohay Elam

Yohay Elam: Founder, Writer and Editor I have been into forex trading for over 5 years, and I share the experience that I have and the knowledge that I've accumulated. After taking a short course about forex. Like many forex traders, I've earned a significant share of my knowledge the hard way. Macroeconomics, the impact of news on the ever-moving currency markets and trading psychology have always fascinated me. Before founding Forex Crunch, I've worked as a programmer in various hi-tech companies. I have a B. Sc. in Computer Science from Ben Gurion University. Given this background, forex software has a relatively bigger share in the posts.