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.

Free Trading Guides
EUR/USD
Mixed
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
GBP/USD
Bullish
USD/JPY
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
Mixed
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
Mixed
Bitcoin
Bearish
More View more
Real Time News
  • Forex Update: As of 05:00, these are your best and worst performers based on the London trading schedule: 🇯🇵JPY: 0.19% 🇨🇭CHF: 0.05% 🇪🇺EUR: 0.03% 🇬🇧GBP: -0.10% 🇦🇺AUD: -0.31% 🇳🇿NZD: -0.49% View the performance of all markets via https://www.dailyfx.com/forex-rates#currencies https://t.co/B5s24o9414
  • Indices Update: As of 05:00, these are your best and worst performers based on the London trading schedule: Wall Street: -0.98% US 500: -1.04% France 40: -1.20% Germany 30: -1.24% View the performance of all markets via https://www.dailyfx.com/forex-rates#indices https://t.co/smh3lrHlFA
  • AUD/USD Technical Analysis: Aussie Dollar Drop Ends Rebound - https://www.dailyfx.com/forex/technical/home/analysis/aud-usd/2020/01/27/AUDUSD-Technical-Analysis-Aussie-Dollar-Drop-Ends-Rebound.html?CHID=9&QPID=917708&utm_source=Twitter&utm_medium=Spivak&utm_campaign=twr #AUDUSD #technicalanalysis https://t.co/NFK3zlXtVX
  • The exponential moving average (EMA) is a derivative of the simple moving average (SMA) indicator. Compared to the SMA, the EMA weighs recent price changes more heavily than later changes in price. Learn how to incorporate the EMA into your strategy here: https://t.co/w48c0y1yKv https://t.co/3mZ290WMCJ
  • The US Dollar may rise with $USDIDR, $USDSGD, $USDPHP and USD$MYR as #coronavirus contagion fears hurt emerging markets. The #Fed and its repo operations will be closely watched #ASEAN - https://www.dailyfx.com/forex/fundamental/article/special_report/2020/01/27/USD-May-Rise-as-IDR-SGD-and-PHP-Fall-on-Coronavirus-Fears-and-Fed.html?CHID=9&QPID=917702 https://t.co/xMxoEifAIU
  • Commodities Update: As of 03:00, these are your best and worst performers based on the London trading schedule: Silver: 0.61% Gold: 0.52% Oil - US Crude: -2.46% View the performance of all markets via https://www.dailyfx.com/forex-rates#commodities https://t.co/EaP6sqAf6A
  • Forex Update: As of 03:00, these are your best and worst performers based on the London trading schedule: 🇯🇵JPY: 0.25% 🇪🇺EUR: 0.05% 🇨🇭CHF: 0.04% 🇬🇧GBP: -0.11% 🇦🇺AUD: -0.29% 🇳🇿NZD: -0.53% View the performance of all markets via https://www.dailyfx.com/forex-rates#currencies https://t.co/J28cZ72K8a
  • LIVE NOW: Join @IlyaSpivak to discuss the outlook for the financial markets in the week ahead! Sign in here - https://www.dailyfx.com/webinars/889679267 #markets #trading #coronarovirus #FOMC #BOE
  • IG Client Sentiment Update: Our data shows the vast majority of traders in Ripple are long at 97.55%, while traders in Germany 30 are at opposite extremes with 79.14%. See the summary chart below and full details and charts on DailyFX: https://www.dailyfx.com/sentiment https://t.co/QbAiygT28A
  • The GBP may fall as Brexit commences, but will the Bank of England cut rates? The US Dollar could rise if the Fed spooks markets with plans to unwind repo operations. Get your $GBPUSD market update from @ddubrovskyFX here: https://t.co/ezHK7Fgzy2 https://t.co/8jXmfKnKwq
GBP/USD Technical Outlook: Sterling Rebound Eyes Initial Resistance

GBP/USD Technical Outlook: Sterling Rebound Eyes Initial Resistance

2018-06-06 20:32:00
Michael Boutros, Technical Strategist
Share:

The British Pound has rallied nearly 2% off the May lows with the advance now approaching initial topside resistance targets. The focus remains on a stretch into yearly open resistance with a breach there needed to suggest a more significant low is in place. Here are the GBP/USD levels that matter heading into the close of the week.

GBP/USD Daily Price Chart

GBP/USD Price Chart - Daily Timeframe

Technical Outlook: In this week’s British Pound Technical Perspective, we highlighted a structural support range in GBP/USD while noting that, “IF Sterling is going to bounce near-term, this would be a good spot.” The reversal off slope support has gathered pace mid-week with the pair testing slope resistance today in New York.

Key resistance stands just higher at 1.3464 & 1.3495-1.3504 – both areas of interest for possible near-term exhaustion / short-entries. Key support remains at 1.3182-1.3225 where the August high-close and the 50% retracement converge on the lower median-line parallel. A break below this level would likely see accelerated losses with such a scenario targeting support objectives at 1.3036 backed by the 1.29-handle.

New to Forex Trading? Get started with this Free Beginners Guide

GBP/USD 240min Price Chart

GBP/USD Price Chart - 240min

Notes: A closer look at Sterling price action sees what could be a bear flag in the works off the May lows with initial resistance targets eyed at 1.3450 backed by 1.3495-1.3504. That said, given the technical considerations made earlier in the week on the US Dollar, we’ll respect a daily close above this threshold with such a scenario targeting the 2017 high close at 1.3589 backed by more significant resistance at 1.3651/75.

Why does the average trader lose? Avoid these Mistakes in your trading

Bottom line: IF the Pound has put in a low, look for support to hold at the weekly open at 1.3345 with our bullish invalidation level at 1.3302- a break below this level would shift the focus back toward confluence support at 1.3182. From trading standpoint, the focus is still higher but we’re looking for a reaction on a stretch into near-term resistance for further guidance.

For a complete breakdown of Michael’s trading strategy, review his Foundations of Technical Analysis series on Building a Trading Strategy

GBP/USD IG Client Positioning

GBP/USD Client Sentiment
  • A summary of IG Client Sentiment shows traders are net-long GBP/USD- the ratio stands at -2.28 (69.5% of traders are long) –bearishreading
  • Retail traders have remained net-long since Apr 20th; price has moved 5.8% lower since then
  • Long positions are 8.0% lower than yesterday and 1.4% lower from last week
  • Short positions are 4.3% higher than yesterday and 1.9% lower from last week
  • We typically take a contrarian view to crowd sentiment, and the fact traders are net-long suggests GBPUSD prices may continue to fall. However, positioning is less net-long than yesterday but more net-long from last week andthe combination of current positioning and recent changes gives us a further mixed GBPUSD trading bias from a sentiment standpoint.

See how shifts in GBP/USD retail positioning are impacting trend- Learn more about sentiment!

---

Relevant GBP/USD Data Releases

Economic Calendar - latest economic developments and upcoming event risk

GBP/USD Economic Calendar

Other Setups in Play:

- Written by Michael Boutros, Currency Strategist with DailyFX

Follow Michael on Twitter @MBForex or contact him at mboutros@dailyfx.com

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

DISCLOSURES

News & Analysis at your fingertips.