Good and bad news | 21 May 2020

GBPUSD trading plan:

Negative macroeconomic statistics from the UK force investors to sell the pound. Britain's inflation dropped to an annual rate of 0.8%from 1.5% in March, official data showed on Wednesday. That was the sharpest one-month fall in over a decade and took inflation further below the BoE's 2% target. Deputy Governor Ben Broadbent has said it could drop below zero by the end of 2020. A bullish rally in the oil market will support the pound. Oil inventories fell by about 5 million barrels for the week ended May 15, the EIA said. Cushing hub inventories fell another 5.8 million barrels, almost aligning with the decline in total inventories.

Trading recommendation: range 1.2190 -1.2260.