GBP/USD has been falling and dipped to a low of 1.3184 – the lowest since November 18 as the EU and the UK talks are on the verge of failure. European Commission Chief von der Leyen reportedly told EU leaders that she has 'low expectations' for a deal. The US dollar stages an impressive bounce. Concerns from the BoE and stalled US fiscal stimulus talks also weigh.
The British pound has seen a big decline against the US dollar currency this morning as traders scale back positions over concerns about Brexit. Continued weakness under the 1.3200 support level could see the GBP/USD pair being push south towards the 1.3110 support level. Without any positive news developments, the GBP/USD pair is likely to remain under pressure going into the weekend.
The pound has broken a month-old ascending trend-line on the 4-hour chart, indicating a further move to the downside.
If the GBP/USD pair rejects and trades above the 1.3200 level, key resistance is found at the 1.3300 for traders to short.
The GBP/USD pair is bearish while trading below the 1.3200 level with a clear break and next key support is found at the 1.3110
