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.



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
More View more
Real Time News
  • USD/JPY trades to a fresh monthly (110.57) amid the pickup in longer-dated US Treasury yields, and the exchange rate may stage a larger advance over the coming days. Get your market update from @DavidJSong here:
  • US yields continue to climb, with the 10-year Treasury yield trading above 1.45% $ZN $ZB
  • $USDJPY bull thesis appears quite constructive. Technicals show topside breakout above trend resistance following a period of consolidation. Bond yields providing the fundamental catalyst. Eyes on Aug/YTD highs. A broad-based deterioration in market sentiment poses downside risk.
  • WTI posting another session of strong gains, currently flirting with the 74 handle $CL #Oil #OOTT
  • The New Zealand Dollar’s bullish breakout attempt in early-September was rebuffed. Price action at the end of the month is telling a different story. Get your market update from @CVecchioFX here:
  • So much for that Evergrande recovery. Shares of the troubled Chinese property developer are down approximately -12% today following yesterday's impressive rally (biggest in a year)
  • Retail trading platform Robinhood announces hire of new Chief Compliance Officer amid regulatory scrutiny
  • There is a ridiculous number of scheduled Fed speeches on the docket next week. Powell specifically will be speaking multiple times including at an ECB hosted forum on central banking (which also has a panel with Fed, ECB, BOE and BOJ heads)
  • USD Ascending Triangle, Bullish for Q4 - #DXY chart on @TradingView
  • Credit rating agency Standard & Poor's is due to give its sovereign credit rating update on Germany today ahead of weekend national elections
GBPUSD Weakens After UK Growth Misses Expectations

GBPUSD Weakens After UK Growth Misses Expectations

Nick Cawley, Strategist

Sterling Talking Points

- UK Q4 growth misses expectations

- GBPUSD may have further to fall after Wednesday’s hawkish FOMC minutes.

Check out our new Trading Guides: they’re free and have been updated for the first quarter of 2018.

GBPUSD Rattled by Weaker-Than-Expected UK Growth.

UK Q4 growth fell to 0.4% from a prior reading and expectations of 0.5%, while annual growth also slipped to 1.4% from 1.5%. UK GDP for 2017 was also downgraded by 0.1% to 1.7%.

Commenting on today’s GDP figures, Head of GDP Darren Morgan wrote:“Services continued to drive growth at the end of 2017, but with a number of consumer-facing industries slowing, as price rises led to household budgets being squeezed.A number of very small revisions to mining, energy generation and services were enough to see a slight downward revision to quarterly growth overall, despite headline services output being unchanged.”

GBP USD continued to slip lower after the release and currently trades below 1.39000. The pair were already under downward pressure after Wednesday’s FOMC minutes revealed a slightly hawkish twist with the Fed now anticipating that the rate of economic growth in 2018 would exceed their estimates of its sustainable longer-run growth.

GBPUSD Price Chart 30 Minute Time Frame (February 19 - 22, 2018)

GBPUSD Weakens After UK Growth Misses Expectations

Chart by IG

Clients Remain Net-Short of GBPUSD

IG Client Sentiment data show 48.4% of traders are net-long with the ratio of traders short to long at 1.06 to 1. We typically take a contrarian view to crowd sentiment, and the fact traders are net-short suggests GBPUSD prices may continue to rise. Positioning is less net-short than yesterday and compared to last week. Recent changes in sentiment warn that the current GBPUSD price trend may reverse lower despite the fact that traders remain net-short.

The Traits of Successful Traders and how to find the Number One Mistake Traders Make are just two of the topics covered in ourFree Trading Guides.

--- Written by Nick Cawley, Analyst

To contact Nick, email him at

Follow Nick on Twitter @nickcawley1

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