![\"support](\"https:\/\/shared.gighl.com\/Morning-Pictures-2020\/October-2020\/19-10-2020\/USDIndex%20H4%2010192020.PNG\")
<\/p>\nThe USD largely was able to maintain its Thursday\u2019s gains on Friday, despite slipping slightly against some of its counterparts, while market worries seem to remain high. The chances of Biden being elected seem to remain high, yet nothing should be taken for granted, with the markets contemplating what a Biden win could actually mean, given the expectations for a large stimulus. Market expectations are running high regarding the size of a stimulus package especially should the Democrats get control over the Senate as well, while a smaller stimulus is expected if the Senate remains in Republican hands. It should be noted that the speaker of the House of Representatives Pelosi set a deadline on Tuesday, for more progress with the White House on negotiations for the stimulus package. Given the absence of high impact financial releases, we could see the USD being influenced more by fundamentals today and should market uncertainty remain high, we could see the USD enjoying further safe haven inflows and vice versa.
\nThe USD index maintained a sideways motion between the 93.95 (R1) and the 93.40 (S1) levels. As a base scenario we expect the index to maintain a sideways motion. Fundamentals like the fiscal stimulus expectations and the US elections could alter the index\u2019s direction. If a selling interest is displayed by the market for the USD, we could see the index breaking the 93.40 (S1) line and aim for 92.80 (S2) level. If buyers are in charge of the index\u2019s direction, it could break the 93.95 (R1) line and aim for the 94.55 (R2) level.<\/p>\n
The pound stabilized and even gained a bit against the USD, EUR and JPY on Friday and during today\u2019s Asian session as the markets tended to brush off UK PM Johnson\u2019s comment to get ready for a hard Brexit. Analysts tended to underscore the difference between getting ready for a possible no deal scenario and an actual no deal, leaning more on the optimistic side. Negotiations are to restart in London and EU\u2019s von der Leyen stated that the EU team is aiming to intensify the talks. The situation with the pandemic remains dire on both sides of the Channel weighing on their respective currencies. We expect that should more positive headlines about the prospects of a Brexit deal emerge, the pound could gain substantially and vice versa.
\nGBP\/USD on Friday regained some of the losses made on Thursday, yet remained within the frame formed by the 1.2945 (R1) and the 1.2885 (S1) boundaries. The sideways motion is expected to continue for the time being, yet fundamentals on both sides of the pair, with special emphasis on Brexit, could alter cable\u2019s direction. Should the bulls take over, we could see GBP\/USD breaking the 1.2945 (R1) and aiming if not breaking also the 1.3015 (R2) resistance level, in a move similar to the one on the 14th of October. Should the bears take over, the pair could break the 1.2885 (S1) line and aim if not break the 1.2800 (S2) level.<\/p>\n
On a rather slow Monday, we get Canada\u2019s wholesale trade for August. As for speakers please note that NY Fed President Williams, BoE Deputy Governor Broadbent and BoE Deputy Governor Cunliffe are scheduled to speak, while during tomorrow\u2019s Asian session RBA releases its meeting minutes.<\/p>\n
On a rather slow Monday, we get Canada\u2019s wholesale trade for August. As for speakers please note that NY Fed President Williams, BoE Deputy Governor Broadbent and BoE Deputy Governor Cunliffe are scheduled to speak, while during tomorrow\u2019s Asian session RBA releases its meeting minutes.<\/p>\n
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Support: 93.40 (S1), 92.80 (S2), 92.23 (S3)<\/p>\n
Resistance: 93.95 (R1), 94.55 (R2), 95.10 (R3)<\/p>\n
![\"support](\"https:\/\/shared.gighl.com\/Morning-Pictures-2020\/October-2020\/19-10-2020\/GBPUSD%20H4%2010192020.PNG\")
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Support: 1.2885 (S1), 1.2800 (S2), 1.2725 (S3)<\/p>\n
Resistance: 1.2945 (R1), 1.3015 (R2), 1.3085 (R3)<\/p>\n
![\"benchmark-19-10-2020\"](\"https:\/\/shared.gighl.com\/Morning-Pictures-2020\/October-2020\/19-10-2020\/benchmark-19-10-2020.PNG\")
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![\"table-19-10-2020\"](\"https:\/\/shared.gighl.com\/Morning-Pictures-2020\/October-2020\/19-10-2020\/table-19-10-2020.PNG\")
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![\"morning-releases-19-10-2020\"](\"https:\/\/shared.gighl.com\/Morning-Pictures-2020\/October-2020\/19-10-2020\/morning-releases-19-10-2020.PNG\")
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Avertissement :<\/p>\n
Ces informations ne doivent pas \u00eatre consid\u00e9r\u00e9es comme un conseil ou une recommandation d'investissement, mais uniquement comme une communication marketing. IronFX n'est pas responsable des donn\u00e9es ou informations fournies par des tiers r\u00e9f\u00e9renc\u00e9s, ou en lien hypertexte, dans cette communication.<\/i><\/i><\/p>","protected":false},"excerpt":{"rendered":"
The USD largely was able to maintain its Thursday\u2019s gains on Friday, despite slipping slightly against some of its counterparts,<\/p>","protected":false},"author":15,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"_daim_seo_power":"","_daim_enable_ail":"","footnotes":""},"categories":[1],"tags":[],"class_list":["post-14842","post","type-post","status-publish","format-standard","hentry","category-uncategorized","blog-category-financial-news","entry"],"acf":[],"yoast_head":"\n