Forex Daily Analysis : 01 February 2021

The daily forex analysis on 01 February 2021 this time discusses the movement of GBPUSD is expected to decline but in the short term, the weakening of the Pound Sterling against the US Dollar is due to the ongoing market concern sentiment over the Covid-19 pandemic in the UK. In addition, the strengthening of the US dollar is behind the uncertainty of the Covid-19 relief package stimulus in the US. Furthermore, today the focus of market participants will be looking forward to a number of UK economic data which will be released at 16:30 WIB which will contribute to providing movement in the market, these data include: Final Manufactring PMI, Mortgage Approvals and Net Lending to Individuals. The US Dollar currency is predicted to receive strengthening support in market movements in the Asian session on Monday (February 01, 2021). The strengthening of the US dollar is due to concerns about US fiscal stimulus, which is feared not as fast and as large as planned by President-elect Joe Biden. The debate over the amount of funds for the Covid-19 fiscal stimulus package planned by President-elect Joe Biden coupled with the delay in vaccine distribution also affected the condition of the US Dollar. The strengthening of the US Dollar received support from buying actions carried out by market participants. On the other hand, there are several Republican senators who are trying to persuade Biden, in revising the nominal amount of the Covid-19 stimulus package. However, from the Democratic Party itself there is also a proposal and will significantly reduce the Covid-19 pandemic stimulus assistance package which was originally planned to be worth US $1.9 trillion, they provide an alternative regarding the amount of the stimulus with a proposal of US $600 billion. The USD, one of the safe-haven assets, received a boost earlier this week as investors remained cautious amid the turmoil on Wall Street between hedge funds and retail investors. According to the latest report from Goldman Sachs, last week did show the largest hedge fund position 'de-grossing' since February 2009 so there will still be ongoing risks from movements driven by position changes.

Forex Daily Analysis Predictions

Today's FOREX prediction on the GBPUSD pair is expected to strengthen/rise and the recommended OP (Open Position) is BUY at the level of 1.37350. With a Target Profit (TP) of 10 - 20 points and a Stop loss (SL) of 5 - 10 points. This the daily analysis of forex 01 February 2021. Keep Money Management and Risk Management first in your trading. Visit GIC Indonesia to get information about the world of trading. You can also join us in the GIC Trade Telegram Community and GIC Trade Telegram Channel. Don't forget to check out the GIC Indonesia Youtube account which is full of a lot of information, and follow our Instagram account to get information about various interesting webinars that you can participate in.