Key points of the article:

    General context: The appearance of a new strain of Covid and the new failure on Brexit are causing the pound
    Today's currency: GBP/USD: Bearish gap on the pound

Currency Table-Time Horizon: Daily

General context: The appearance of a new strain of Covid and the new failure on Brexit cause the pound to fall

Following the appearance of a new strain of coronavirus in England this weekend, the pound is down this morning and safe haven currencies like the dollar and yen are up.

We wake up to the chaos in the UK travel industry, as Italy, the Netherlands and Belgium close their borders with the UK, and other countries like France prepare to follow suit, amid the rapid spread of a mutant strain of coronavirus in Britain that has seen the government cancel abruptly Christmas and increase the restrictions measures. It was a difficult weekend for the former European Union state, as Brexit trade talks still missed a deadline, while there are few signs that either side is willing to compromise. The pound sterling is down this morning.

In the United States, on the other hand, congressional leaders in Washington finally reached an agreement on a spending program of about $900 billion to support the U.S. economy, marking one of the largest economic rescue measures in the country's history. The House of Representatives is expected to vote on the pact today, followed by the Senate.
Today's currency: GBP/USD: Bearish gap on the pound

The pound had breached an important resistance zone on 1.35 that had functioned on Friday as a support. The bearish gap opened this morning, rare on currencies, is a technical element that invalidates for the moment this scenario.

The cable fell back below the two moving averages at 13 and 34 periods. A return to the bullish oblique is likely. As long as it is preserved, the pound can resume its progression and the current movement would only be a correction. A break in this ascending support would be a bearish reversal signal.

Evolution of the prices of the pound sterling against the dollar in daily data:
Morning Meeting Forex: New strain of covid in Great Britain, GBP/USD: the pound opens a bearish gap