79% of retail accounts lose money when trading CFDs with this provider. CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 79% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money.
expand_more

Investment manager shorts GBP on post-Brexit deal! What’s next?

January 06, 2021 12:30

Allianz Global Investors has initiated short positions in the British pound against the euro, following other asset managers who are turning pessimistic on the prospects of the UK economy. 

The currency has been the worst performer among the G10 so far this year. Economic headwinds remain given the threat of the resurging and mutating coronavirus. After the Brexit deal was announced the limited move to the upside was a tell-tale sign that many investment managers believe it's too early to be optimistic. 

While some uncertainty has been lifted regarding the deal, investors are still concerned the trade deal doesn’t extend to services or the City of London which are key income areas for the UK. This has helped analysts to forecast that the Bank of England will move towards negative interest rates sometime this year. 

Did you know that you can speculate on the direction of the British pound against the euro using Contracts for Difference (CFDs)? This allows you to potentially profit from both rising and falling markets. Get started with a free demo trading account today!

How to trade EURGBP with Admiral Markets UK Ltd

If you are feeling bullish or bearish on the EURGBP currency pair you can speculate on the direction using CFDs. To get started, follow these five simple steps:

  1. Log in to your existing Admiral Markets trading account, or open a live or demo trading account in just a few minutes. 
  2. Click Trade on your chosen account which will direct you to the Admiral Markets MetaTrader Web Platform. 
  3. Type in EURGBP and choose your instrument at the bottom of the Market Watch search box and then drag the symbol onto the chart. 
  4. Use the one-click trading feature on the chart or right-click on select Trading -> New Order. 
  5. Choose your entry, stop loss and target levels and position size (volume) and then confirm the trade.

Source: Admiral Markets MetaTrader 5 Web, EURGBP, Weekly - Data range: Jul 27, 2014, to Jan 6, 2020, performed on Jan 6, 2020, at 7:07 am GMT. Please note: Past performance is not a reliable indicator of future results. 

 

Did you know that you can open a free demo trading account to test your trading ideas and theories regarding the price direction of thousands of markets in a virtual trading environment? Open your free account today by clicking on the banner below and receive free access to Premium Analytic tools and more!

Trade With A FREE Demo Trading Account

INFORMATION ABOUT ANALYTICAL MATERIALS:

The given data provides additional information regarding all analysis, estimates, prognosis, forecasts, market reviews, weekly outlooks or other similar assessments or information (hereinafter "Analysis") published on the website of Admiral Markets. Before making any investment decisions please pay close attention to the following:

1.This is a marketing communication. The content is published for informative purposes only and is in no way to be construed as investment advice or recommendation. It has not been prepared in accordance with legal requirements designed to promote the independence of investment research, and that it is not subject to any prohibition on dealing ahead of the dissemination of investment research.

2.Any investment decision is made by each client alone whereas Admiral Markets UK Ltd (Admiral Markets) shall not be responsible for any loss or damage arising from any such decision, whether or not based on the content.

3.With a view to protecting the interests of our clients and the objectivity of the Analysis, Admiral Markets has established relevant internal procedures for prevention and management of conflicts of interest.

4.The Analysis is prepared by an independent analyst Jitan Solanki, Freelance Contributor (hereinafter "Author") based on personal estimations.

5.Whilst every reasonable effort is taken to ensure that all sources of the content are reliable and that all information is presented, as much as possible, in an understandable, timely, precise and complete manner, Admiral Markets does not guarantee the accuracy or completeness of any information contained within the Analysis.

6.Any kind of past or modelled performance of financial instruments indicated within the content should not be construed as an express or implied promise, guarantee or implication by Admiral Markets for any future performance. The value of the financial instrument may both increase and decrease and the preservation of the asset value is not guaranteed.

7.Leveraged products (including contracts for difference) are speculative in nature and may result in losses or profit. Before you start trading, please ensure that you fully understand the risks involved.