GBP/USD Outlook (17 December 2019)

Overall, GBP/USD is trending upwards. Recently, GBP/USD trended lower, breaking the support level of 1.33200 following reports of the U.K. Prime Minister Boris Johnson’s plan to change the law to guarantee no extension can be given to the Brexit transition phase which may lead to no-deal Brexit.
The U.K. flash PMI data released were worse than forecasted but the market did not react much to the results.

Flash Manufacturing PMI (Actual: 47.4, Forecast: 49.1, Previous: 48.9 revised from 48.3)
Flash Services PMI (Actual: 49.0, Forecast: 49.6, Previous: 49.3 revised from 48.6)

GBP/USD’s next support level is at 1.31700 and the next resistance level is at 1.33200.
Look for short-term selling opportunities of GBP/USD.