This week’s technical weekly GBPUSD forecast is supported by comments from Brexit minister David Davis supporting British PM Theresa May on positive trade deal expectations.
25 June, AtoZForex – Earlier today Britain’s Brexit minister David Davis commented that he is “pretty sure” he could negotiate a good deal to leave the European Union. The hopeful trade deal, meanwhile would require a transitional arrangement for around one or two years. While, the UK is going through a major political turmoil, Davis’ positive comments come in supportive of the British PM Theresa May.
In an interview on BBC on Sunday, Davis commented the following about his expectations about his Brexit negotiations:
“I am pretty sure, I am not 100 percent sure, it’s a negotiation … You can be sure there’ll be a deal, (but) the deal I want is the free trade agreement, the customs agreement and so on.
I said it will be turbulent, there will be difficulties, but at the end of the operation there is a point of common interest in both sides, where we gain by being able to exploit global markets, where they gain by having a friendly and comfortable ally, not an irritating member of the club.”
Weekly GBPUSD forecast
Although, market is still closed while providing this commentary, weekly GBPUSD forecast appears promising for the week of 26 – 30 June. From technical analysis perspective, last week GBPUSD signaled potential bullish price action developments.
The weekly GBPUSD price action signals would be confirmed this coming week with a break above the 1.2772 zone. With such a break above, we could expect the pair to have targets towards 1.3040 zone, which was the previous week’s resistance zone for the pair.
Strict EU Brexit negotiation
EU has so far been demonstrating strict approach towards Brexit. Although the British PM Theresa May outlined her proposals on Friday to give EU citizens in Britain broadly the same rights after Brexit as they now enjoy now, the MPs and the negotiation body still are not willing to give up.
Even, the President of the European Council Donald Tusk commented last week with the famous”I am a dreamer” line about the Brexit. His comments emphasized that there is still time and possibility to revert Brexit back or maybe cancel it.