British Pound/U.S. Dollar FX:GBPUSD

Theresa May is betting her legacy from the help of Jeremy Corbyn, will the two head be successful to deliver a deal Brexit before Halloween?

After last Thursday’s local electionsin UK, in which both the Conservatives and Labour parties were punished severely by voters for failing to break the political deadlock, May and Corbyn have insisted their parties must now urgently agree a way forward in cross-party talks which will resume on Tuesday. Last week May said: “We have to find a way to break the deadlock. I believe the results of the local elections give fresh urgency to this.”

But opposition MPs and Tory Brexiters warned any deal the leadership teams stitch up behind the scenes would face inevitable defeat in parliament and cause more acrimony in the parties.

The Observer can reveal that 104 opposition MPs, mainly from Labour but also SNP , Change UK, Green and Plaid Cymru, have written to May and Corbyn insisting they will not back a “Westminster stitch-up” unless there is a firm guarantee that any deal is then put to a confirmatory referendum. At this moment Labour party have 244 MPs in the Parliament and around 80 or less Tory MPs is supporter for May or remain. so there is still risk of not getting enough MP’s to pass a deal

So if May’s plan fail again, or before May and Corbyn reaching agreement, the Tory manage to force May to resign.

The GBP option seems that a possibility of GBP drop below 1.2. the main last defence is 1.26. upside limit is 1.3250 and 1.3450. (Max)

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