australian-dollar-bank-notes- AUD

The British pound has declined against the Australian dollar since the beginning of the trading session on Friday, but it continues to move within a horizontal channel that started on October 17. The corridor’s resistance level is at around 1.8939, while the support line is at 1.8750.

GBP/AUD has dropped 0.14% so far, but the quotation is in free fall right now. Currently, the pair is trading 1.8811 as of 05:40 AM UTC. The pound is under pressure after UK Prime Minister Boris Johnson called for an election on December 12.

PM Johnson Sets Election Date

The British currency started to lose strength after PM Boris Johnson announced that he was asking the UK parliament to endorse a national election on December 12, a move to ensure the country leaves the bloc. He stated:

“The way to get Brexit done is, I think, to be reasonable to parliament. If they genuinely want more time to study this excellent deal, they can have it, but they have to agree to a general election on December 12. That’s the way forward.”

Jeremy Corbyn, leader of the Labour Party, which is in opposition, said he would wait to know the EU’s decision on a Brexit deadline extension before deciding which way to vote on Monday, reiterating that he would support an election only if no-deal Brexit is totally avoided.

Given that other opposition parties don’t seem to back the election proposal, it is now quite unlikely that the PM’s effort to dodge the parliament through the popular vote will be successful.

For Johnson, an election might be the only solution to handle Brexit after parliament initially voted in favor of his deal on Tuesday but then refused to support his timetable that would meet his deadline next Thursday.

Nevertheless, he couldn’t obtain parliament’s support for an election on two occasions. The PM told Corbyn in a letter:

“This parliament has refused to take decisions. It cannot refuse to let the voters replace it with a new parliament that can make decisions.”

On the other side, EU ambassadors are now meeting in Brussels to decide the extension and its length. is a site operated by TransferWise Inc. (“We”, “Us”), a Delaware Corporation. We do not guarantee that the website will operate in an uninterrupted or error-free manner or is free of viruses or other harmful components. The content on our site is provided for general information only and is not intended as an exhaustive treatment of its subject. We expressly disclaim any contractual or fiduciary relationship with you on the basis of the content of our site, any you may not rely thereon for any purpose. You should consult with qualified professionals or specialists before taking, or refraining from, any action on the basis of the content on our site. Although we make reasonable efforts to update the information on our site, we make no representations, warranties or guarantees, whether express or implied, that the content on our site is accurate, complete or up to date, and DISCLAIM ANY IMPLIED WARRANTIES OF MERCHANTABILITY OR FITNESS FOR A PARTICULAR PURPOSE. Some of the content posted on this site has been commissioned by Us, but is the work of independent contractors. These contractors are not employees, workers, agents or partners of TransferWise and they do not hold themselves out as one. The information and content posted by these independent contractors have not been verified or approved by Us. The views expressed by these independent contractors on do not represent our views.