EUR/USD and GBP/USD lose directional focus amid Brexit uncertainty

EUR/USD and GBP/USD lose much of their directional conviction, with year-end Brexit uncertainty driving volatile consolidation.

​EUR/USD starting to fade once more

EUR/USD is starting to ease back once again after the partial recovery seen overnight. Set within a period of clear indecision, a break back below the $1.2152 mark could start to see further bearish short-term momentum.

However, with a wider uptrend in play, there is still a good chance we are looking at a retracement of the $1.2059-$1.2273 rally.

GBP/USD sees indecision dominate as Brexit deadline looms

GBP/USD has understandably seen a distinct lack of direction over the course of the past week, with the latest creation of higher lows and lower highs highlighting that indecision. With just over a week left until the Brexit deadline, we will soon find out whether a last-minute deal can be reached.

At this point, pretty much any deal would likely boost the pound. For now, the chart appears to be in wait-and-see mode, with a break below $1.3304 or above $1.3499 required to bring about a fresh directional breakout. ​

The information on this page does not contain a record of our trading prices, or an offer of, or solicitation for, a transaction in any financial instrument. IG Bank S.A. accepts no responsibility for any use that may be made of these comments and for any consequences that result. No representation or warranty is given as to the accuracy or completeness of this information. Consequently any person acting on it does so entirely at their own risk. Any research provided does not have regard to the specific investment objectives, financial situation and needs of any specific person who may receive it and as such is considered to be a marketing communication. Although we are not specifically constrained from dealing ahead of our recommendations we do not seek to take advantage of them before they are provided to our clients. See full non-independent research disclaimer.

Start trading forex today

Find opportunity on the world’s most-traded – and most-volatile – financial market

  • Trade spreads from just 0.6 points on EUR/USD
  • Analyse with clear, fast charts
  • Speculate wherever you are with our intuitive mobile apps

See an FX opportunity?

Try a risk-free trade in your demo account, and see whether you’re onto something.

  • Log in to your demo
  • Take your position
  • See whether your hunch pays off

See an FX opportunity?

Don’t miss your chance – upgrade to a live account to take advantage.

  • Get spreads from just 0.6 points on popular pairs
  • Analyse and deal seamlessly on fast, intuitive charts
  • See and react to breaking news in-platform

See an FX opportunity?

Don’t miss your chance. Log in to take your position.

Live prices on most popular markets

  • Forex
  • Shares
  • Indices

Prices above are subject to our website terms and agreements. Prices are indicative only. All shares prices are delayed by at least 15 mins.

You might be interested in…

Find out what charges your trades could incur with our transparent fee structure.

Discover why so many clients choose us, and what makes us a world-leading provider of CFDs.

Stay on top of upcoming market-moving events with our customisable economic calendar.