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.



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

Live Webinar

Live Webinar Events


Economic Calendar

Economic Calendar Events

Free Trading Guides
Please try again
Oil - US Crude
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
More View more
Real Time News
  • Knowing how to accurately value a stock enables traders to identify and take advantage of opportunities in the stock market. Find out the difference between a stock's market and intrinsic value, and the importance of the two here:
  • It seems the markets are riding high, but risk is always lurking around the corner. Consider your escape plan before you find yourself in collapsing market. What are the top havens for different conditions in 2021? Find out from @JohnKicklighter here:
  • Myth or fact? One thing is for sure, there are a lot of misconceptions about trading. Knowing the difference between common trading myths and the reality is essential to long-term success. Find out about these 'myths' here:
  • What are some monetary policies that could affect Gold this quarter? Get your Gold free forecast here: #DailyFXGuides
  • Even more remarkable than the record high levels of leverage registered in US equities this past week was the attention it garnered. Paying attention to risk is a threat when markets are this high and the docket as dense as it is this week. My outlook:
  • Consolidation or bull flag? A bull flag is a continuation pattern that occurs as a brief pause in the trend following a strong price move higher. Learn how to better spot these formations here:
  • Are you new to trading? Technical analysis of charts aims to identify patterns and market trends by utilising different forms of technical chart types and other chart functions. Get a refresher on technical analysis or begin building your knowledge here:
  • USD hegemony is at risk thanks to changes in the global economy and the long-term consequences of the US-China trade war. Get your market update from @CVecchioFX here:
  • Did you know a Doji candlestick signals market indecision and the potential for a change in direction. What are the top five types of Doji candlesticks? Find out
  • Use this technical analysis pattern recognition skills test to sharpen your knowledge:
USDOLLAR Rebound Loses Steam - GBP/USD to Lead Breakout?

USDOLLAR Rebound Loses Steam - GBP/USD to Lead Breakout?

Christopher Vecchio, CFA, Senior Strategist

Talking Points:

- USDOLLAR testing uptrend from April low.

- GBPUSD at topside of multi-month ascending triangle.

- Forex economic calendar focuses on US housing data on Tuesday.

Yesterday we examined some of the causes behind the US Dollar’s weak start to 2014, which has largely bucked consensus expectations given the widespread belief that US Treasury yields would rise amid the Federal Reserve’s tapering of QE3. Today, the technical vulnerability of the US Dollar is revealed via the Dow Jones FXCM Dollar Index, an equal-weighted basket of the US Dollar versus the Australian Dollar, British Pound, Euro, and Japanese Yen.

Specifically, if the USDOLLAR is on the verge of another downswing, the GBPUSD may be best positioned to take advantage of it going forward:

Forex Technical Analysis: USDOLLAR Chart (H4)

USDOLLAR Rebound Loses Steam - GBP/USD to Lead Breakout?

- USDOLLAR treated 10495/500 as significant support from February to April, before breaking on April 6.

- Post-breakdown resistance has formed at 10470/75 and 10495.

- The uptrend off of the April 10 and 17 lows is currently being tested; a move below 10425 would suggest resumption of the downtrend; below 10400 would confirm it.

- Only a weekly close through 10495/500 would suggest USDOLLAR strength, also representing the descending trendline off of the January, February, and April highs.

Read more: AUD/USD, EUR/USD Set for Late-April Pivots as Liquidity Returns

Forex Technical Analysis: GBPUSD Chart (H4)

USDOLLAR Rebound Loses Steam - GBP/USD to Lead Breakout?

- GBPUSD may be in the midst of a two month long ascending triangle formation, beginning back at the lows seen on February 4 to 7.

- Resistance in the triangle formed against $1.6825, with the most recent failures coming after April 9.

- There have been a series of higher lows forming above the ascending trendline off of the July 2013 and March 2014 lows, suggesting increasing bullish momentum.

- The past three days price has consolidated into a minor flag (red) between 1.6773 and 1.6840 – these levels mark either side of the range to engage should a breakout opportunity arise. A move through 1.6840 would immediately draw attention for a move towards 1.7000.

Read more: GBP/JPY, GBP/USD Set for Test of Highs or Major Breakdown

--- Written by Christopher Vecchio, Currency Analyst

To contact Christopher Vecchio, e-mail

Follow him on Twitter at @CVecchioFX

To be added to Christopher’s e-mail distribution list, please fill out this form

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