We open Buy positions for two reasons. Firstly, the rise in negative real interest rates in the US is forcing investors to get rid of the US currency. Earlier, D. Powell said that the Federal Reserve will continue to buy assets this year despite the rise in inflation, since it takes a long time for economic growth to recover after the Covid-19 pandemic. Thus, negative real interest rates in the United States will persist for a long period of time.

Secondly, I expect a continuation of the upward trend in the oil market, which will have a positive impact on the British currency, insofar as the pound has historically been correlated with oil. OPEC published a fresh review for December, where he has noted the growth in oil demand in the fourth quarter, and also improved its forecast for consumption of black gold for 2021.

Investment idea: Buy 1.2140 / 1.2120 and take profit 1.2210.