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
GBP/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
More View more
Real Time News
  • The results of this weekend’s German Federal Election will likely dominate Euro sentiment at the start of the week ahead but after a possible EUR/USD bounce they will have little long-term impact. Get your weekly $EUR forecast from @MartinSEssex here: https://t.co/Xu3ZT7EtrW https://t.co/5VHKn52MaA
  • The Consumer Price Index, better known by the acronym CPI, is an important economic indicator released on a regular basis by major economies to give a timely glimpse into current growth and inflation levels. Learn how to better understand CPI here: https://t.co/nAa0fHq4Np https://t.co/mf9rsmIvaW
  • A currency carry trade involves borrowing a low-yielding currency in order to buy a higher yielding currency in an attempt to profit from the interest rate differential. Find out if the carry trade suits your trading style here: https://t.co/7t4BzmLg8w https://t.co/mYWO0Eta0P
  • Sterling continues to contract into trend extremes and the focus is on a pending breakout in the weeks ahead. Get your weekly $GBP technical forecast from @MBForex here: https://t.co/ZvEMQuFjSs https://t.co/rMmq9cehnY
  • Japanese candlesticks are a popular charting technique used by many traders, and the shooting star candle is no exception. Learn about the shooting star candlestick and how to trade it here: https://t.co/mfwJ0sZLTs https://t.co/tm4k3IVzHr
  • Do you know how to properly Identify a double top formation? Double tops can enhance technical analysis when trading both forex or stocks, making the pattern highly versatile in nature. Learn more about the double top formation here: https://t.co/t9FlspUVZz https://t.co/FFMy5O9YoY
  • It’s important for traders to be familiar with FX spreads as they are the primary cost of trading currencies. Understand a pair's spread here: https://t.co/zEEUHZBx7g https://t.co/jZHcyAZ5SU
  • Further your forex knowledge and gain insights from our expert analysts on EUR with our free guide, available today: https://t.co/XtydfV5wS6 https://t.co/Iw9haaHAnn
  • The Federal Reserve System (the Fed) was founded in 1913 by the United States Congress. The Fed’s actions and policies have a major impact on currency value, affecting many trades involving the US Dollar. Learn more about the Fed here: https://t.co/ADSC4sr63f https://t.co/raO3gCGqQ6
  • Key levels in forex tend to draw attention to traders in the market. These are psychological prices which tie into the human psyche and way of thinking. Learn about psychological levels here: https://t.co/8A1QhwMVKo https://t.co/rWVlBs6H3c
2 FX Moves to Watch for Today

2 FX Moves to Watch for Today

Boris Schlossberg, Technical Strategist

Look for GBPUSD to challenge and possibly overcome 1.56 on the heels of more standout UK data, and watch today’s US industrial reports, which should decide whether USDJPY stalls or rallies to take on 98.50.

More positive economic data out of the UK helped push GBPUSD towards the 1.5600 level, while USDJPY was jerked around like a yo-yo after Japanese officials denied rumors of any corporate tax cut in the near future. Given the fact that we are in the middle of the summer holiday season, we had rather lively overnight sessions in Asia and early-morning European trade.

In the UK, retail sales handily beat expectations, printing at 1.1% versus 0.7% expected and suggesting that the recovery is starting to have a positive impact on consumer spending. Sales were up an impressive 3% on a year-over-year basis, boosted by hot weather in July. Supermarkets saw a monthly sales increase of 2.5% and reported strong sales in barbeque food, outdoor items, clothing, and alcohol.

The GBPUSD responded positively to the news, spiking to a high of 1.5594 before easing slightly on profit taking. The pair is now within striking distance of the key 1.5600 level, which has been stubborn resistance over the past several days.

However, given the string of upside economic surprises over the past two weeks, investors are now much more confident in the UK recovery story and may push the pair through the 1.5600 barrier in today’s North American session.

The Next USD/JPY Move in the Making

Meanwhile, in Asia, USDJPY see-sawed wildly, first rising on speculation of a possible corporate tax cut, then falling sharply after official denials from chief cabinet secretary Yoshihide Suga and Japan's finance minister Taro Aso. The rejection of the tax-cut idea could weigh on USDJPY as Japanese efforts to stimulate the economy run up against the reality that the nation is still facing a massive budget deficit.

So far, the USDJPY rebound has stalled ahead of the 98.50 level, and the pair has not been helped by the tame US inflation data, which takes some of the pressure off the Federal Reserve to taper early. Today's CPI numbers, which are expected to print at 0.2% versus 0.2% the month prior, could reinforce that notion if they print cooler than expected.

In addition to the CPI readings, the market will get to see a slew of Industrial data, including the Empire State and Philly Fed manufacturing surveys and industrial production numbers. If the data shows any slowdown in activity, USDJPY could drift lower once again. On the other hand, if US data shows a pick-up from the stall in July, USDJPY may take another run at the 98.50 level.

By Boris Schlossberg of BK Asset Management

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

DISCLOSURES