To date, our pair has moved away from the previously reached highs and has been hovering around the level of 1.4310. The data released today from the UK showed mixed dynamics and did not significantly support the British currency. Furthermore, the pound began to weaken against the background of leaked data that the British economy will be worse in any of the three Brexit scenarios.
After Friday's speech by Donald Trump at the World Economic Forum in Davos, the dollar index stopped its decline and moved away from the lowest level since December 2014. Today the head of the White House will address the Congress with a report on the situation in the country. It is quite expected that Donald Trump will also touch on the topic of his economic successes over the past year and, perhaps, will help strengthen the dollar. However, we can accurately note that volatility in the markets will be increased at the time of this speech.
Today we also expect the release of the Consumer Confidence Index for January from the US, which is forecasted at 123.1 versus 122.1 in the previous month.
Therefore, considering our chart, we will look for points to enter short positions. The approximate entry point is 1.4140. The objectives in the medium term are near the levels of 1.4000 and 1.3940.
