Weekly Currency Review: British Pound Surges
Pound Sterling Soares after DUP Softens towards Brexit Deal
Pound Sterling soared on news that Northern Ireland’s DUP does not resist as much as before to Prime Minister Theresa May’s Brexit deal.
GBP/EUR hit 1.16 after that, showing a slight recovery in its value. GBP/USD soared to 1.31 and is trading now at 1.3170.
The ratification of the deal can have a positive effect for Sterling as everyone is already tired of the Brexit votes and want to see an end of this uncertainty.
I Know First successfully predicted all the pairs: GBP/JPY – 2.31%, GBP/CHF – 2.27%, GBP/USD – 2.55%, GBP/CAD – 2.20%.
[Source: Yahoo Finance]
[Source: Yahoo Finance]
[Source: Yahoo Finance]
[Source: Yahoo Finance]
The Beginning of New Zealand Dollar Rally
Right after news that the PBoC will release $37 billion in additional cash to banks for growth stimulation NZD/USD began its rally from 0.6765 to a peak 0.6872.
analysts at ANZ Bank says “This week trade talks and the FOMC meeting will take the focus. We expect the Fed will be cautious, but not overly so, while signs of progress on trade would be positive for risk and may keep NZD supported. Watch for headlines,”
I Know First successfully predicted NZD/USD price for 3 days from 24 to 27 January 2019, with a gain of 0.77%.
[Source: Yahoo Finance]
South African Rand Outperforms Other Currencies
Goldman Sachs is confident about South African Rand and claims that it will be supported over the next weeks. Rand shows the best performance over the past month with big gains in value.
“ZAR has been the best-performing EM currency over the past month and week, supported by tailwinds common to the high-yielding complex (a dovish Fed, resilient growth and moderate inflation), as well as some positive Rand-specific news,” says strategist Zach Pandl at Goldman Sachs in New York.
Having Said that I Know First successfully predicted USD/ZAR from 20th January, 2019 to 27th January, 2019 with a 1.66% gain.
[Source: Yahoo Finance]
[Source: Poundsterlinglive]
Japan Central Banks Face Difficulties
According to Reuters, experts believe inflation will stand at 0.7% in April. It will be very hard for Japanese Bankers to achieve 2% target inflation rate, because of declining crude oil prices and global economic downturn. While Japan’s central bank keeps interest rates flat and lowers inflation expectations, Yen goes down.
That is why we could see strong gains in JPY/CNY, where Japan is showing weakness and at the same time capital flows to the Chinese economy. I Know First gained 0.96% for JPY/CNY.
[Source: Yahoo Finance]
Last I Know First Currency Forecasts With About 63% Hit Ratio
On the charts below, you can see last I Know First Forecasts for 7 days and 3 days. It includes long and short recommendations. I Know First released three forecasts with an average 62.82% hit ratio.
How to interpret this diagram
Algorithmic traders utilize these daily forecasts by the I Know First market prediction system as a tool to enhance portfolio performance, verify their own analysis and act on market opportunities faster. This forecast was sent to the current I Know First subscribers.
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Algorithmic traders utilize these daily forecasts by the I Know First market prediction system as a tool to enhance portfolio performance, verify their own analysis and act on market opportunities faster.
Please note-for trading decisions use the most recent forecast.
