Breaking: GBP/USD breaks above 1.30 as DUP rejects customs union amendment to the Brexit deal

Yohay Elam FXStreet

GBP/USD has topped 1.30 and is trading at the highest levels since mid-May – a five-month high. The pound has extended its gains as the chances for parliament to approve the Brexit deal have improved.

The latest development has come from the Northern Irish Democratic Unionist Party. The small party has stated it will object an amendment to add a customs union to the agreement. Forcing such a change would practically void the accord. Jim Shannon told Sky News the party would not support such an amendment.

While the DUP is vehemently opposed to having a customs border at the Irish Sea, they are more concerned about the change in the consent mechanism. Prime Minister Boris Johnson's Brexit deal strips NI unionists from their veto on changes in the province.

The next targets are 1.3045, 1.3080, and 1.3135. Support awaits at 1.2985 and 1.2900.

More GBP/USD Forecast: Seeing the uptrend through the Brexit chaos, rally looks likely

GBP USD technical chart 1.30 October 21 2019 DUP support

GBP/USD has been rising in a sharp uptrend since October 10, when Johnson and his Irish counterpart Leo Varadkar reached a breakthrough. Cable now completes a surge of over 800 pips in 11 days.

For more detail, see Three positive Brexit developments

Author

Yohay Elam

FXStreet

Yohay is in Forex since 2008 when he founded Forex Crunch, a blog crafted in his free time that turned into a fully-fledged currency website later sold to Finixio.

EUR/USD flat lines around 1.1900; looks to US NFP report for fresh directional impetus

The EUR/USD pair is seen oscillating in a narrow trading band around the 1.1900 mark during the Asian session on Wednesday as traders opt to wait for the release of US monthly employment details before placing fresh directional bets.

GBP/USD recovers losses despite rising UK political risks, BoE rate cut bets

Pound Sterling advances against the US Dollar after registering modest losses in the previous session, trading around 1.3650 during the Asian hours on Wednesday. The pair could extend losses as the Pound Sterling faces pressure from rising political risks in the UK and growing expectations of near-term Bank of England rate cuts.

Gold awaits US Nonfarm Payrolls data for a sustained upside

Gold remains capped below $5,100 early Wednesday, gathering pace for the US labor data. The US Dollar licks its wounds amid persistent Japanese Yen strength and potential downside risks to the US jobs report. Gold holds above $5,000 amid bullish daily RSI, with eyes on 61.8% Fibo resistance at $5,141.

Bitcoin, Ethereum and Ripple show no sign of recovery

Bitcoin, Ethereum, and Ripple show signs of cautious stabilization on Wednesday after failing to close above their key resistance levels earlier this week. BTC trades below $69,000, while ETH and XRP also encountered rejection near major resistance levels. With no immediate bullish catalyst, the top three cryptocurrencies continue to show no clear signs of a sustained recovery.

Dollar drops and stocks rally: The week of reckoning for US economic data

Following a sizeable move lower in US technology Stocks last week, we have witnessed a meaningful recovery unfold. The USD Index is in a concerning position; the monthly price continues to hold the south channel support.

XRP holds $1.40 amid ETF inflows and stable derivatives market

Ripple trades under pressure, with immediate support at $1.40 holding at the time of writing on Tuesday. A recovery attempt from last week’s sell-off to $1.12 stalled at $1.54 on Friday, leading to limited price action between the current support and the resistance.