News & Analysis at your fingertips.

We use a range of cookies to give you the best possible browsing experience. By continuing to use this website, you agree to our use of cookies.
You can learn more about our cookie policy here, or by following the link at the bottom of any page on our site.

0

Notifications

Notifications below are based on filters which can be adjusted via Economic and Webinar Calendar pages.

Live Webinar

Live Webinar Events

0

Economic Calendar

Economic Calendar Events

0
Free Trading Guides
Subscribe
Please try again
EUR/USD
Bearish
Low
High
of clients are net long.
of clients are net short.
Long Short

Note: Low and High figures are for the trading day.

Data provided by
Oil - US Crude
Bearish
Low
High
of clients are net long.
of clients are net short.
Long Short

Note: Low and High figures are for the trading day.

Data provided by
Wall Street
Bearish
Low
High
of clients are net long.
of clients are net short.
Long Short

Note: Low and High figures are for the trading day.

Data provided by
Gold
Bearish
GBP/USD
Mixed
USD/JPY
Bearish
More View more
Real Time News
  • The non-farm payroll (NFP) figure is a key economic indicator for the United States economy. It is also referred to as the monthly market mover. Find out why it has been given this nickname here: https://t.co/yOUVEEqhc5 https://t.co/ftrbRkFiJF
  • Human error in the forex market is common and often leads to familiar trading mistakes. These trading mistakes crop up particularly with novice traders on a regular basis. Learn about the top ten trading mistakes and how you can avoid them here: https://t.co/i8E2AXtzF3 https://t.co/Hny2HMYo4I
  • (Weekly Fundamental) Australian Dollar Outlook: Tied to Biden Stimulus Bets, S&P 500, US Dollar, Treasuries $AUDUSD #SP500 #stimulusbill #USD https://www.dailyfx.com/forex/fundamental/forecast/weekly/aud/2021/01/16/Australian-Dollar-Outlook-Tied-to-Biden-Stimulus-Bets-SP-500-US-Dollar-Treasuries.html?CHID=9&QPID=917702&utm_source=Twitter&utm_medium=Dubrovsky&utm_campaign=twr https://t.co/H7aus0Aljt
  • The inside bar pattern occurs regularly within financial markets. Incorporating the inside bar strategy can enhance a trader's market analysis. Find out how more here: https://t.co/E3EWOYTYNw https://t.co/7zI3p6UNVs
  • Bank of Japan to mull widening of its long-term yield band -BBG $USDJPY
  • While the rise in longer-dated Treasury yields have been impressive as of late, March highs remain a key focus for resistance The medium-term uptrend remains intact, maintained by rising support from August Fading fiscal stimulus expectations (size) may sour yields ahead https://t.co/L3vBcF0ts7
  • Trading bias allows traders to make informative decisions when dealing in the market. This relates to both novice and experienced traders alike. Start learning how you may be able to make more informed decisions here: https://t.co/rz7fqhRoMG https://t.co/vFJ8zmphMm
  • While the US Dollar has been holding its ground, its downside bias against the Singapore Dollar, New Taiwan Dollar Thai Baht and Indonesian Rupiah remains intact as it hovers at support. Get your market update from @ddubrovskyFX here: https://t.co/p7gAztWuVG https://t.co/zB1pOS6U4D
  • The $VIX is now running 227 trading days above the 20 handle. It is also working its way quickly into a dead-end descending triangle. These don't really break lower... https://t.co/39Pr7YrQ08
  • WTI Crude amongst the many market participants taking a hit today, down almost 3% $WTI $USD https://t.co/eg2phm1wUO
GBPUSD Reaches Range Resistance

GBPUSD Reaches Range Resistance

2012-04-25 20:10:00
Walker England, Trading Instructor,

The GBPUSD has been moving higher, since we last discussed the triangle pattern depicted below in the April 5th edition of Chart of the Day. Price quickly ascended over 300 pips to currently create fresh 2012 highs despite negative data released on the economic calendar. Today Gross Domestic Product number was released out of the UK at -.2%. This negative growth is indicative of an economic slowdown but yet the GBPUSD pair has somehow managed to rally. Technical traders will look for areas of resistance on their charts to spot points of fresh breakouts or a return of price to lower lows.

GBPUSD_Reaches_Range_Resistance_body_Picture_2.png, GBPUSD Reaches Range Resistance

Looking at the daily chart below, we can better see the GBPUSD setting 2012 highs with today’s price action near 1.6080. Price last tested this point in October of 2011 when price reached as high as 1.0656. Currently this level stands as resistance on the chart and provides an opportunity for a range trade if this level holds. Range traders will look for price to return to support at 1.5300 created by connecting price from October 2011 and January 2012 lows.

To assist us in gauging fresh downside momentum, we can employ the MACD oscillator. One way to use MACD is to find divergence which is a directional separation of price from the indicator. Hidden divergence is depicted below as price is creating higher highs, while MACD is forming lower highs. This can be an oscillator trader’s first clue at a potential price pullback. Once direction is decided, we can use a MACD line cross of the signal line to enter into our trade.

GBPUSD_Reaches_Range_Resistance_body_Picture_1.png, GBPUSD Reaches Range Resistance

My preference is to sell the GBPUSD using a MACD crossover. Entries should be taken under resistance near 1.6170. Stops should be placed over resistance at 1.6370. Limits should look for a 800 pips of profit near support for a 1:4 Risk/Reward profile.

Alternative scenarios include price breaking upward out of our range reaching for higher highs.

---Written by Walker England, Trading Instructor

To contact Walker, email instructor@dailyfx.com . Follow me on Twitter at @WEnglandFX.

To be added to Walker’s e-mail distribution list, send an email with the subject line “Distribution List” to instructor@dailyfx.com .

DailyFX providesforex newson the economic reports and political events that influence the currency market. Learncurrency tradingwith a free practice account and charts from FXCM.

DailyFX provides forex news and technical analysis on the trends that influence the global currency markets.

DISCLOSURES