GBPUSD

Although it is expected and understood that the UK will be aiming to strengthen relationships around the world following the result of the EU Referendum, I am unsure how people will react to Theresa May strengthening a relationship with the United States that appears on track to isolate itself from globalization.

The world is going to pay for Brexit.

In a good way.

Earlier today, official data showed that the U.K. rate of consumer price inflation increased by 0.3% in Feb, missing analysts’ forecasts.

By now, you’ve no doubt heard about today’s horrifying events in Brussels, and we wanted to start by saying that our thoughts go out to the bombing victims and their families.

The theme of today’s European session trade was undoubtedly risk aversion, with every major European equity bourse losing ground, bond yields generally rising, and oil losing another 2+% thus far.

GBP/USD has turned up in the last few weeks with very sharp price action  which we see it as wave IV within big impulsive downtrend.

USDJPY continued to fell further following the 5 wave projected pattern to new lows.

Ideally, wave C) is underway to lower levels, most-likely back to 0.7690 and then 0.7650 based on minimum expectations.
For the morning after Valentine’s Day, it still feels like love is in the air, at least for risk bulls.