Pound strengthens its position. Barnier confirmed the agreement between the EU and Britain

British pound continues to strengthen its position after the EU’s chief negotiator on Brexit, Michel Barnier, officially announced that the UK and the EU have agreed to a two-year transition period. Barnier noted that the rights of EU and UK citizens were agreed, but the issue of the Irish border is still open. Also, this news warms the expectations of market participants that on Thursday  meeting of the Bank of England will be signals about a possible increase in the basic interest rate in May.

Technical analysis: The pair GBP / USD has overcome the resistance line of the upward H1 channel, which indicates a possible strengthening of the upward movement in the short term. At the moment, I consider the nearest resistance level at the level of 1.4100, if the price will fix above this level, we should expect its further growth to the level of 1.4200. I consider the main support levels at the mark of 1.4000, 1.3940.

Fig. GBP / USD Graph. The current price is $ 1.4065.

Alexander Sivtsov