GBPUSD: Foreign Office Minister Alan Duncan resigns

GBPUSD gives up 0.28 percent after Foreign Office Minister Sir Alan Duncan resigns as earlier said that he won’t serve under a Boris Johnson leadership. Tomorrow we await the Tory leadership outcome, with markets almost certain that Boris Johnson will become the new UK Prime Minister.

GBPUSD moved sharply lower after the resignation making new daily low at 1.2461. The short term momentum is negative for the pair as it trades below all major hourly moving averages. On the downside first support can be met at 1.2423 the low from July 18th, while a break below can accelerate the pressure down to 1.2400. On the upside immediate resistance stands at 1.2497 the 200 hours moving average while more offers will emerge at 1.2510 the 50 hour moving average.  Intraday traders can wait for 1.2493 the hour moving average to enter a long position targeting today high for profit, a stop order should be also activated at 1.2473 the 100 hour moving average.Don’t miss a beat! Follow us on Twitter.