- GBP/USD fails to capitalise on reports of EU - UK reaching Brexit agreement.
- Lawmakers say they will vote against the deal.
- The Cabinet is scheduled to meet on Wednesday to discuss the deal.
With the initial market reaction to reports of the EU and the UK negotiators reaching an agreement on a text to deal with the Irish border, the GBP/USD pair surged to a daily high of 1.3047 but struggled to preserve its gains as British politicians quickly announced their opposition to the draft deal. At the moment, the pair is trading at 1.2950, still up 0.8%, or a little over 100 pips, on the day.
Elaborating on the deal, "The backstop will come in the form of a temporary UK-wide customs arrangement, with specific provisions for Northern Ireland, which go deeper on the issue of customs and alignment on the rules of the single market than for the rest of the UK," RTÉ News' Europe Editor Tony Connelly wrote. In response to the leaked information, British Lawmaker Rees-Mogg said PM May's deal failed to meet the promises of the conservative manifesto and added that he would vote against it. Additionally, former Foreign Secretary Boris Johnson said that he hoped that the Cabinet and the Parliament would block the deal.
Finally, Northern Ireland's DUP's Brexit spokesman told RTE radio that if the Brexit deal was as reported, it would be voted down and not accepted. The UK Cabinet is scheduled to meet tomorrow the draft deal.
Today's Brexit headlines
- EU and UK negotiators agree text for Irish border - RTÉ News.
- UK PM May expected to present draft Brexit deal on Wednesday.
- The Times' Sam Coates: Business groups to be briefed on Brexit tomorrow.
- BBC's Kuenssberg: Cabinet to sign off a text of divorce deal tomorrow.
- DUP Spokeswoman: We have to wait to see a deal, our red lines are well known.
- UK: Cabinet will meet at 2pm tomorrow to consider the draft agreement.
- Irish ForMin Spokesman: Negotiations between EU and UK on a withdrawal agreement have not concluded.
- DUP’s Wilson: Seems all promises from UK PM May have been broken.
- DUP deputy leader Dodds: Brexit deal does not mark end-game of relationship with UK government.
- UK Lawmaker Rees-Mogg: If the leaked Brexit deal is accurate, it will be hard to trust PM May.
- EU leaders could meet on Nov. 25 to seal Brexit deal - Reuters.
- UK: Boris Johnson says he will vote against deal - Reuters.
Technical levels to consider
The initial resistance for the pair aligns at 1.3000/1.2995 (psychological level/100-DMA) ahead of 1.3040 (50-DMA/daily high) and 1.3110 (Nov. 6 high). On the downside, supports are located at 1.2930 (20-DMA), 1.2850 (daily low) and 1.2775 (Oct. 26 low).
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers. The author will not be held responsible for information that is found at the end of links posted on this page.
If not otherwise explicitly mentioned in the body of the article, at the time of writing, the author has no position in any stock mentioned in this article and no business relationship with any company mentioned. The author has not received compensation for writing this article, other than from FXStreet.
FXStreet and the author do not provide personalized recommendations. The author makes no representations as to the accuracy, completeness, or suitability of this information. FXStreet and the author will not be liable for any errors, omissions or any losses, injuries or damages arising from this information and its display or use. Errors and omissions excepted.
The author and FXStreet are not registered investment advisors and nothing in this article is intended to be investment advice.
Recommended content
Editors’ Picks
EUR/USD bounces off lows, retests 1.1370
Following an early drop to the vicinity of 1.1310, EUR/USD now manages to regain pace and retargets the 1.1370-1.1380 band on the back of a tepid knee-jerk in the US Dollar, always amid growing optimism over a potential de-escalation in the US-China trade war.
GBP/USD trades slightly on the defensive in the low-1.3300s
GBP/USD remains under a mild selling pressure just above 1.3300 on Friday, despite firmer-than-expected UK Retail Sales. The pair is weighed down by a renewed buying interest in the Greenback, bolstered by fresh headlines suggesting a softening in the rhetoric surrounding the US-China trade conflict.
Gold remains offered below $3,300
Gold reversed Thursday’s rebound and slipped toward the $3,260 area per troy ounce at the end of the week in response to further improvement in the market sentiment, which was in turn underpinned by hopes of positive developments around the US-China trade crisis.
Ethereum: Accumulation addresses grab 1.11 million ETH as bullish momentum rises
Ethereum saw a 1% decline on Friday as sellers dominated exchange activity in the past 24 hours. Despite the recent selling, increased inflows into accumulation addresses and declining net taker volume show a gradual return of bullish momentum.
Week ahead: US GDP, inflation and jobs in focus amid tariff mess – BoJ meets
Barrage of US data to shed light on US economy as tariff war heats up. GDP, PCE inflation and nonfarm payrolls reports to headline the week. Bank of Japan to hold rates but may downgrade growth outlook. Eurozone and Australian CPI also on the agenda, Canadians go to the polls.
The Best brokers to trade EUR/USD
SPONSORED Discover the top brokers for trading EUR/USD in 2025. Our list features brokers with competitive spreads, fast execution, and powerful platforms. Whether you're a beginner or an expert, find the right partner to navigate the dynamic Forex market.