Forex Daily Analysis : March 12, 2021

The daily forex analysis of March 12, 2021 discusses the signals of optimism that have arisen over the faster-than-expected economic recovery in the UK, causing the Pound Sterling currency to strengthen against the US Dollar. The positive signal arose due to the rapid and continuous Covid-19 vaccination activities carried out by the British government. In addition to the above, another factor that resulted in the strengthening of the Pound Sterling was due to the weakening of the US Dollar. While ministers in the British government cabinet are rumored to make it easier for banks to maintain deposits/capital, this plan will be able to overturn the Mifid II regulation. It also plans to extensively review the country's finances in line with a potential outlook that will slowly erode the standard of provision from the rest of the European Union. The difference in regulation between the UK and the EU will be very slow, while on the other hand the divergence of regulations can benefit the UK economy so that it will make it more competitive. However, this can backfire on the UK, because if the EU has problems with the UK and for example the EU is upset, then it is certain that the EU will apply tariffs to goods and services that will be used by the UK. Regarding the UK economic data that will be released. The greenback weakened against several other major currencies. The weakening of the US Dollar has occurred for almost the last 3 days. The latest US economic data has managed to ease concerns about inflation and unemployment data has managed to fall to the lowest level in 4 months. This makes the switch of investment instruments to risk assets increase so that safe haven assets such as the US dollar will weaken. US President-elect Joe Biden has signed the US $1.9 Trillion Covid-19 relief stimulus package into law. Regarding the stimulus package, the plan will be more focused on infrastructure and has the potential to be larger. Meanwhile, market participants will be wary of the release of data on the US producer price index report in February, as well as preliminary survey data on consumer sentiment by experts from Michigan for March.

Forex Daily Analysis Predictions

Today's FOREX prediction on the GBPUSD pair is expected to weaken/fall and the recommended OP (Open Position) is SELL at the level of 1.39650. With a Target Profit (TP) of 10 - 20 points and a Stop loss (SL) of 5 - 10 points.
This the daily analysis of forex on March 12, 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.