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
Bullish
Oil - US Crude
Mixed
Wall Street
Bullish
Gold
Bearish
GBP/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
USD/JPY
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
More View more
Real Time News
  • The European Commission proposed an ambitious recovery fund, containing the key parts of the Franco-German aid package with grants at EUR 500bln and loans at EUR 250bln. Get your $EURUSD update from @JMcQueenFX here: https://t.co/LmIaveRajb https://t.co/LWTBVLIDBf
  • The trio of central banks overseeing the commodity currencies have already cut their main rates to all-time lows. Get your market update from @CVecchioFX here: https://t.co/OSUXrN5P3j https://t.co/3nwDel6e28
  • The tension from March continues to subside, allowing for the $USD to slide to fresh two-month-lows. Get your currencies market update from @JStanleyFX here: https://t.co/bRSRjUqg6Z https://t.co/Q35YpIZEd2
  • López Obrador hopes #USMCA will help tighten trade relationships between the US and Mexico. Get your currencies market update from @HathornSabin here: https://t.co/bZrUKSCGaS https://t.co/MZ7UoiWWRj
  • The $AUD may suffer as relations between Australia and China deteriorate amid dwindling growth prospects. Euro traders will be closely watching progress in talks about a €500b recovery fund proposal. Get your market update from @ZabelinDimitri here: https://t.co/LkEFJViPWY https://t.co/sofO135ElG
  • The US Dollar could rise against #ASEAN currencies such as the Singapore Dollar as US-China tensions seem to escalate. The Indian Rupee is also looking ahead of local 1Q GDP data. Get your ASEAN currencies market update from @ddubrovskyFX here:https://t.co/LkEFJViPWY https://t.co/ZGFaQQ3Hr2
  • The #Euro is the big driver here for DXY as it is 57% of the index. It is rising now and trying to break above the March 27 high at 11147. Get your $EURUSD technical analysis from @PaulRobinsonFX here:https://t.co/6gt3F9LuGP https://t.co/73SaL5AeXD
  • U.S. Market Analyst at https://t.co/JsVsSmefgR, Shain Vernier covers - ✔️ Safe haven assets in volatile markets ✔️ Central banks and governments ✔️ How will commodities trade in a recession Only on Trading Global Markets Decoded #podcast. Tune in here: https://t.co/1UmEzEbwiy https://t.co/EIC9YqfTec
  • Anybody else think that casting directors in movies are some of the most underrated people when it comes to giving a film/series credit?
  • No https://t.co/EoBltaP17k
GBP: Sterling Continues to Benefit From a Lack of Bad News

GBP: Sterling Continues to Benefit From a Lack of Bad News

2018-09-15 10:00:00
Nick Cawley, Strategist
Share:
Please add a description for the image.

Fundamental Forecast for GBP: Bullish

Sterling (GBP) Talking Points:

  • Brexit continues to dominate although hard UK data surprises to the upside.
  • Bank of England remains cautious as talks progress.

The DailyFX Q3 GBP Forecast is available to download.

We remain bullish on Sterling going into next week after the latest jobs, wages and GDP data all came in better-than-expected this week, while a lack of any negative Brexit news leaves the British Pound looking under-valued. The main data point next week is the latest Consumer Price Inflation release on Wednesday at 08:30 GMT with the latest market expectations a nudge lower in annual CPI to 2.4%. This remains above the central bank’s target of around 2% and the latest uptick in wages will be closely watched by the BOE for any additional inflationary feed through into prices. The central bank left all policy measures unchanged at this week’s MPC meeting.

Brexit negotiations remain ongoing with the atmosphere around the talks more amenable with both sides mentioning concessions on previous red-lines, sending a slightly more positive signal to the financial markets. With talks ongoing and nearing deadlines, much work is still needed, especially over the Irish Border, and headlines will continue to drive Sterling.

The comprehensive DailyFX Economic Calendar for the week ahead provides traders with updated data and forecasts across all major currencies. On Monday we will be taking an in-depth look at the important UK data releases, Brexit and other UK asset market drivers at 10:30GMT in our weekly UK Key Events and Markets Webinar.

EURGBP continues to move slowly lower and should be used as a Brexit barometer over GBPUSD and other crosses. Any positive news sees the pair move lower within a 2018 range of 0.8600 to 0.9100.

EURGBP Weekly Price Chart (March 2017 – September 14, 2018)

GBP: Sterling Continues to Benefit From a Lack of Bad News

DailyFX analyst Paul Robinson’s latest video on how to become a better, more consistent trader is a must listen for market participants seeking an edge. As Paul notes early in his piece, Markets are too dynamic, full of too much uncertainty, to try and navigate them without a framework in place. Trading plans are imperative for creating consistent results'.Becoming a Better Trader – How to Create a Trading Plan.

Traders may also be interested in two of our trading guides – Traits of Successful Traders and Top Trading Lessons – while technical analysts are likely to be interested in our latest Elliott Wave Guide.

--- Written by Nick Cawley, Analyst

To contact Nick, email him at nicholas.cawley@ig.com

Follow Nick on Twitter @nickcawley1

Other Fundamental Forecast:

New Zealand Dollar Forecast - NZD Rise to Gain if GDP Sinks RBNZ Rate Cut Bets, Trade War a Risk

Oil Forecast – Brent Up 10% Since August Low, Stubborn Supply Concerns Persist

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

DISCLOSURES

News & Analysis at your fingertips.