Skip to Content
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. See our updated Privacy Policy here.

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
More View More
GBP/USD Attempts Post NFP Breakout

GBP/USD Attempts Post NFP Breakout

Walker England, Forex Trading Instructor

Talking Points

  • Strong NFP figures cause the GBP/USD to trade lower
  • Bearish breakouts are signaled under 1.4556
  • Bullish reversals potentially begin over 1.4585

GBP/USD 30 Minute Chart

(Created using Marketscope 2.0 Charts)

Losing Money Trading Forex? This Might Be Why.

The GBP/USD is trading lower this morning after today’s US Payroll figures (NFP) were released better than expected. Expectations for NFP were set at 200k, and were soundly beat this morning after posting at 290k. The US Dollar has initially rallied from this news, causing pairs such as the GBP/USD to decline in value. Now that NFP has concluded traders may continue to watch for further declines under today’s S4 pivot point, which resides at a price of 1.4556. In the event of a breakout below this value traders may begin to extrapolate today’s 59-pip range to find initial targets near 1.4497.

If the current bout of US Dollar strength begins to falter, traders will begin looking for bullish reversal for the GBP/USD over 1.4585. This value is represented above by the S3 pivot point, and a move beyond this point may suggest price action attempting to test values of resistance. It is worth noting that range resistance is currently found at 1.4644, and todays R4 pivot point resides at a price of 1.4674. In the event that prices trade up to these values, it would suggest that the GBP/USD’s bearish momentum has at least temporarily concluded.

Current SSI (Speculative Sentiment Index) for the GBP/USD has also continued to reside at extremes going into this weeks close. The index is currently reading at +2.77, and when used as a contrarian indicator, this may suggest that the GBP/USD is preparing for a further decline.

To Receive Walkers’ analysis directly via email, please SIGN UP HERE

See Walker’s most recent articles at his Bio Page.

Do you know the biggest mistake traders make? More importantly, do you know how to overcome the biggest mistake? Read page 8 of the Traits of Successful Traders Guide to find out [free registration required].

Contact and Follow Walker on Twitter @WEnglandFX.

Video Lessons || Free Forex Training

Trading Using Fibonacci (13:08)

Reading the RSI, Relative Strength Index (13:57)

Money Management Principles (31:44)

Trade Like a Professional Workshop (1:44:14)

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

DISCLOSURES