The British pound gained ground against the US dollar

The British pound gained ground against the US dollar, trading higher than the 50-day moving average and reaffirming the bullish sentiment surrounding the currency pair. With the British pound’s strength and the US dollar’s broader weakness, the pair is expected to continue exploring the upper regions of the daily chart. But even though the dollar is the marked casualty of today’s downturn, the British pound’s strength remains vulnerable to the global environment. The weekend saw continued confirmations the COVID-19 is spreading outside of China. Authorities are also continuing to adopt some measures aimed at preventing the disease’s more rapid spread. As mentioned, Italy is quarantining the whole population of Lombardy, and the move could have massive impacts on the Italian economy, which could affect the whole eurozone, and therefore the whole global economic outlook.