European Commission President Ursula von der Leyen said today that “we have found a way forward on most issues” in Brexit trade talks. But “two issues still remain outstanding: the level playing field and fisheries”. Still ” issues linked to governance now have largely been resolved. The next days are going to be decisive.”
“On standards, we have agreed a strong mechanism of non- regression. That’s a big step forward. And this is to ensure that our common high labour, social and environmental standards will not be undercut,” von der Leyen added,
“Difficulties still remain on the question of how to really future-proof fair competition. But I’m also glad to report that issues linked to governance by now are largely being resolved.”
EUR/USD and GBP/USD upside breakout on PMIs and Brexit progress
Sterling and Euro rise broadly today, partly based on progress in Brexit negotiations, and partly on stronger than expected PMIs. Strong risk-on market in Europe also pressures the green back.
In particular EUR/USD has taken out 1.2177 resistance to resume the whole up trend from 1.0635. Next target will be 61.8% projection of 1.0635 to 1.2011 from 1.1602 at 1.2452.
GBP/USD also breaches 1.3539 resistance, suggesting resumption of whole rise from 1.1409. Sustained trading above 1.3539 will pave the way to 61.8% projection of 1.1409 to 1.3482 from 1.2675 at 1.3956.