You must be wondering how news affect Stock and Forex Trading. We have discussed the strong pound in recent weeks as an abundance of good news has caused it to surge over 10% in the past 12 months. The question is how long can this run be sustained?
Well all this positive data has now led to murmurings of a potential split in the Monetary Policy Committee (MPC) vote on interest rates sooner rather than later, which will be good for the pound. So if the positive data continues then so will the chances of a rate split and some further good currency buying opportunities ahead. However, if the data weakens, it won’t take much for the MPC to stick to their guns and keep interest rates low for a sustained period. The forex charts will tell you everything, so keep the eyes peeled for how this pan’s out and trade accordingly.