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
Mixed
USD/JPY
Mixed
Gold
Bullish
Oil - US Crude
Bullish
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
Bitcoin
Bearish
More View more
Real Time News
  • European Opening Calls From IG: #FTSE 7391 -0.56% #DAX 13712 -0.52% #CAC 6054 -0.52% #AEX 626 -0.47% #MIB 25036 -0.34% #IBEX 9973 -0.50% #STOXX 3833 -0.52%
  • #Gold prices were well supported in any case but #Apple's admission that the coronavirus has hit its Chinese suppliers saw the metal move up. https://www.dailyfx.com/forex/fundamental/daily_briefing/daily_pieces/commodities/2020/02/18/Gold-Prices-Get-Boost-as-Apple-Warning-Sharpens-Virus-Fears.html?utm_source=Twitter&utm_medium=Cottle&utm_campaign=twr #Crudeoil, #commodities
  • RT @business: BREAKING: HSBC to slash 35,000 jobs, about 15% of its workforce, over three years https://t.co/skORsJlIes https://t.co/lAXJxM…
  • IG Client Sentiment Update: Our data shows the vast majority of traders in Ripple are long at 96.91%, while traders in Germany 30 are at opposite extremes with 83.79%. See the summary chart below and full details and charts on DailyFX: https://www.dailyfx.com/sentiment https://t.co/jYqUyArf3u
  • AUD/USD Technical Analysis: Aussie Dollar May Break Range Floor - https://www.dailyfx.com/forex/technical/home/analysis/aud-usd/2020/02/18/AUDUSD-Technical-Analysis-Aussie-Dollar-May-Break-Range-Floor.html?CHID=9&QPID=917708&utm_source=Twitter&utm_medium=Spivak&utm_campaign=twr #AUDUSD #technicalanalysis https://t.co/6aeywJkAkR
  • Forex Update: As of 05:00, these are your best and worst performers based on the London trading schedule: 🇯🇵JPY: 0.13% 🇨🇭CHF: 0.04% 🇬🇧GBP: -0.04% 🇨🇦CAD: -0.10% 🇳🇿NZD: -0.29% 🇦🇺AUD: -0.32% View the performance of all markets via https://www.dailyfx.com/forex-rates#currencies https://t.co/XfJ4dACKNd
  • Indices Update: As of 05:00, these are your best and worst performers based on the London trading schedule: Germany 30: -0.47% US 500: -0.49% Wall Street: -0.53% France 40: -0.55% View the performance of all markets via https://www.dailyfx.com/forex-rates#indices https://t.co/bowwGbbxZe
  • Cash rate futures are pricing in about a 52% probability of an #RBA 25-bp rate cut at the June interest rate announcement -BBG $AUDUSD
  • The #Euro may have more room to fall versus its major peers such as the US Dollar, Japanese Yen and British Pound. What is the technical picture of $EURUSD, $EURJPY and $EURGBP - https://www.dailyfx.com/forex/technical/article/special_report/2020/02/18/Euro-Weakness-Risks-Accelerating-EURUSD-EURJPY-EURGBP.html?CHID=9&QPID=917702&utm_source=Twitter&utm_medium=Dubrovsky&utm_campaign=twr https://t.co/DyuPCusTCh
  • #NOK, #AUD and #NZD are expected to be the most-active #G10 FX versus #USD with one-week implied volatility at 7.15, 6.76 and 6.70 respectively [delayed] -BBG
British Pound to Face Limited Correction on Stronger U.K. Recovery

British Pound to Face Limited Correction on Stronger U.K. Recovery

2013-10-12 00:28:00
David Song, Currency Strategist
Share:
British_Pound_to_Face_Limited_Correction_on_Stronger_U.K._Recovery_body_gbp10112013.png, British Pound to Face Limited Correction on Stronger U.K. Recovery

British Pound to Face Limited Correction on Stronger U.K. Recovery

Fundamental Forecast for the British Pound: Neutral

The British Pound struggled to maintain the bullish trend dating back to July even as the Bank of England (BoE) retained its current policy at the October meeting, but the sterling may trade on a firmer footing next week should the fundamental developments coming out of the U.K. encourage the central bank to implement its exit strategy ahead of scheduled.

It seems as though there was another unanimous vote within the Monetary Policy Committee as the central bank refrained from releasing a policy statement, and the BoE Minutes due out on October 23 may sound more hawkish this time around as the U.K. recovery gather pace.

Ahead of that, a further slowdown in the U.K. Consumer Price Index may prompt a more meaningful correction in the GBPUSD, but another 25.0K decline in Jobless Claims along with a rebound in Retail Sales may limit the downside risk for the British Pound as the stronger recovery heightens the outlook for inflation. As the pickup in economic activity raises the risk of see above-target price growth for a prolonged period of time, the BoE may increase its efforts to achieve the 2% target for inflation, and a more material shift in the policy outlook may spur a run at the 2013 high (1.6341) as the central bank appears to be slowly moving away from its easing cycle.

In turn, the British Pound may face a limited correction as the GBPUSD appears to be finding near-term support around 1.5910-20, the 23.6% Fibonacci retracement from the July advance, and the sterling may ultimately carve out a higher low ahead of the BoE Minutes should the data coming out of the U.K. continue to raise the outlook for growth and inflation. - DS

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

DISCLOSURES

News & Analysis at your fingertips.