Free Forex Trading Signals: GBPUSD and EURUSD March-April 2016
■ Market: Forex
■ Asset: GBPUSD and EURUSD
■ TCI Forecast: GBPUSD Reversal on March and Uptrend (↑)
Nothing is discussed more these days than the Brexit. Britain's prime minister, set June 23rd, 2016 as the date for a referendum regarding the membership of Britain in the European Union. The Forex market dances on the ‘vibes’ of the Brexit and its implications.
Eurozone in Trouble and EURUSD
Against the general market consensus, I believe that a potential. Brexit will harm the EU much more than Britain itself. It will harm the EU in economic terms, but majorly in political and geopolitical terms. It will also create a climate of uncertainty regarding who is the next to leave the table. The Eurozone inevitably will be affected by the implications of a Brexit during the following months. In addition, the problem of uncontrolled immigration in the EU gets worst, but it can still be resolved. In this uncertain environment, EURUSD trades lower.
Major Investment Banks Forecast EURUSD in 2016
In the following table, major investment banks forecast the rate of EURUSD in 2016. The average forecast for Q1 is 1.073, and for Q4 is 1.053.
Table: EURUSD rate in 2016
EURUSD |
Q1 2016 |
Q2 2016 |
Q3 2016 |
Q4 2016 |
HSBC |
1.15 |
1.16 |
1.18 |
1.20 |
Citigroup |
1.09 |
1.06 |
1.03 |
1.03 |
Credit Suisse |
1.04 |
1.03 |
1.01 |
1.00 |
Barclays |
1.07 |
1.03 |
0.98 |
0.95 |
JP Morgan |
1.05 |
1.03 |
1.08 |
1.13 |
Morgan Stanley |
1.04 |
1.03 |
1.02 |
1.01 |
Average |
1.073 |
1.057 |
1.050 |
1.053 |