GBP strength has come into question recently after comments from the Bank of England pushed back interest rate forecasts. GDP figures for the UK has also seen an improvement on the basis that interest rates would rise in the short term but following this change traders are arguing that Sterling value could fall further. This is great news for people holding AUD looking at moving their assets back onto the Pound but should be seen as a real risk and alert for anyone in the opposite situation.
In the near future we have UK data Including Retail, Consumer Price Index, Production Price Index and BOE minutes. The majority are expected to show a fall for the Pound which could continue this negative trend of GBPAUD traders. In the medium term I would also highlight the Scottish vote taking place in 30 days’ time. This is likely to create more uncertainty in the build-up and again potentially accelerate the negative trend.
If you are a trader with a GBPAUD purchase to make you’re in a tuff situation and must be aware of the risks you take by holding. Here we do offer SPIKE NOTIFICATIONS for this pairing meaning that if we do see some light relief or an opportunity we can notify you quickly for your review. If this is of interest or if you want more information on the services we offer please contact myself, Steve Eakins via email at [email protected]