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Pounds reaction to the UK court ruling


Critical for the nation and stocks as well as currencies, the UK Court Ruling came against the UK Government's desire to trigger Brexit processes as soon as possible. So now, as earlier, the government will have to seek consensual agreement from the Parliament in order to trigger Article 50 that will formally initiate Brexit.

British Pound has taken this critical milestone very well, a brief sharp drop followed by recovery. Current levels are back up above the 1.25 mark. A rough inverse head and shoulder formation is completed taking the pair upwards as expected of the technical pattern (obviously fundamentals are playing key role here just not within the UK/Eurozone/US to name a few). There appears to be a potential for $GBPUSD to jump even higher (neckline on the reverse leads to 1.27) roughly matching recent yearly high of 1.27741 on 12/12/16. Upward trend remains intact. It is a long trade on 4H and the USD weakness further boosts the Sterling.

#GBPUSD