- Basic Chart
- Technical Chart
About the GBP/PLN (British pound sterling and Polish złoty)
The GBP/PLN pair is the abbreviated term used for the Great British Pound and Polish złoty. the Great British Pound and Polish złoty do not have a nickname. Before we get into the particulars, what exactly does GBP/PLN rate mean? The exchange rate tells you how many Polish złoty (the quote currency) are required to purchase one Pound (base currency). For example, if the pair is trading at 5.00, it means it takes 5.00 Polish złoty to buy 1 pound.
Breaking Down ‘GBP/PLN’
The pound sterling (symbol: £; code: GBP), commonly known as the pound and less commonly referred to as sterling is the official currency of the United Kingdom At different times, the pound sterling was commodity money or bank notes backed by silver or gold,but it is currently Fiat money, backed only by the use of as little as possible in the areas where it is taken. The pound sterling is the world's most old money used in a country still in use and which has been in unbroken stretch use since its start.
Whereas, The Polish zloty is the official currency of Poland. The national bank of Poland controlled and managed the currency and currency abbreviation is PLN. The Polish zloty dates back to 1919 but was not circulated until 1924. The Polish zloty comes in denominations of banknotes that include banknotes of 10, 20, 50, 100, and 200 zloty as well as coins.
Correlation is merely a mutual relationship or connection between two or more things.
Positive correlation – The positive relationship merely is when pairs move in tandem with each other.
In the forex world, the ?????
Negative correlation – In contrast, a negative relationship is when forex pairs move in the opposite direction, For example,???
Economic Events: The movement in the Great British Pound and Polish złoty economic events determine the exchange rates. Top of the line economic events includes GDP, Employment Change, Industrial Production, and Consumer Price Index. Better than forecast data increases the demand for related currency and impacts the value of either the Great British Pound or the Polish złoty, causing fluctuations in the GBP/PLN exchange rate.
Major Economic Events
Gross Domestic Product – the gross domestic product is the central measure of economic growth in the region.
Employment Change – The Sterling is also sensitive to changes in employment, as slacks in the labor market causes a drop in Inflation rates.
Consumer Price Index – Since one of the goals of the BOP is to maintain price stability, they keep an eye on inflation indicators such as the CPI. If the annual CPI deviates from the central
Industrial Production – This measures a change in the total inflation-adjusted value of output produced by manufacturers, mines, and utilities.
Political Events - Another critical factor is the political aspect. Instability, as seen in the Brexit referendum, can entirely change the direction of the currencies. So, stay up-to-date on the latest political and economic news.
What Determines the GBP/PLN Exchange Rate?
Several factors can impact the GBP/PLN rate valuation, including:
BOE & NBP Monetary Policies: The Bank of England and the National Bank of Poland control the supply of money in the market, to keep the economy on track. A dovish policy, which is also known as expansionary policy, from either of the central banks, weakens the related currency. In contrast, a hawkish monetary policy (contractionary policy) strengthens the currency
The GBP/PLN is traded in amounts denominated in the US Dollar.
Standard lot Size: 100,000
Mini lot size: 10,000
One pip in decimals 0.0001
Pip Value: $2.61