The Brexit is not enough, skyfalls over the Pound

The Brexit is not enough. September skyfalled over the Pound and it continued drifting. Fundamentals were ignored. BoE left rates unchanged. PIM pointed neglection of initial reactions caused by the referendum. Politicians’ spectre is not colourful enough. For their eyes only economic indicators are not seen in the living daylights. 

Another shock was delivered this week by the Prime Minister Theresa May. A view to kill the access to the single market by limiting the people migration. Mrs No already scheduled Rocky Brexit. Do you think UK economy can stand this turbulence? Well the Pound coundn’t and fell to a new fresh 31-year low against the US dollar. Uncertainty is rising inevitably and this will not bring anything sustainable for the Pound.

Technically speaking for the GBP/USD pair the bias remains bearish. RSI is slightly above the oversold area, momentum is showing bearish signals DMI’s provide confirmation. Moving above the current level of 1.275 would be possible in a short-term perspective,but anyway we must consider the weakness of the Pound and expect further downward movement.