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.

0

Notifications

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

Live Webinar

Live Webinar Events

0

Economic Calendar

Economic Calendar Events

0
Free Trading Guides
Subscribe
Please try again
EUR/USD
Bearish
Oil - US Crude
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
Wall Street
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
Bearish
GBP/USD
Mixed
USD/JPY
Bearish
More View more
Real Time News
  • Bank of Japan to mull widening of its long-term yield band -BBG $USDJPY
  • While the rise in longer-dated Treasury yields have been impressive as of late, March highs remain a key focus for resistance The medium-term uptrend remains intact, maintained by rising support from August Fading fiscal stimulus expectations (size) may sour yields ahead https://t.co/L3vBcF0ts7
  • Trading bias allows traders to make informative decisions when dealing in the market. This relates to both novice and experienced traders alike. Start learning how you may be able to make more informed decisions here: https://t.co/rz7fqhRoMG https://t.co/vFJ8zmphMm
  • While the US Dollar has been holding its ground, its downside bias against the Singapore Dollar, New Taiwan Dollar Thai Baht and Indonesian Rupiah remains intact as it hovers at support. Get your market update from @ddubrovskyFX here: https://t.co/p7gAztWuVG https://t.co/zB1pOS6U4D
  • The $VIX is now running 227 trading days above the 20 handle. It is also working its way quickly into a dead-end descending triangle. These don't really break lower... https://t.co/39Pr7YrQ08
  • WTI Crude amongst the many market participants taking a hit today, down almost 3% $WTI $USD https://t.co/eg2phm1wUO
  • The power of suggestion: even though the market recognized the mistake with mixing Tesla founder Musk's suggestion to use the Signal app with the stock SIGL, it is still trading >2,000% above pre-remark levels and maintains heavy volume. Us speculators are an interesting people
  • Forex Update: As of 21:00, these are your best and worst performers based on the London trading schedule: 🇯🇵JPY: -0.07% 🇨🇭CHF: -0.35% 🇪🇺EUR: -0.65% 🇨🇦CAD: -0.75% 🇦🇺AUD: -0.95% 🇳🇿NZD: -1.19% View the performance of all markets via https://www.dailyfx.com/forex-rates#currencies https://t.co/6NZVebT00L
  • one final $BTCUSD chart ahead of the weekend bc I think this is going to remain on the move. 35k support has held for now, but prices are testing a big zone of prior resistance (same that held the high on tues morning). break down/out levels in purple below $BTC #Bitcoin https://t.co/TeLrBYJXty https://t.co/MewVjXNrRT
  • Silver selling off during trade, now down over 3% $XAG $USD https://t.co/V69rLJMYcC
GBPUSD Price Volatility Expected Ahead of Potential Brexit Showdown

GBPUSD Price Volatility Expected Ahead of Potential Brexit Showdown

2018-09-12 09:00:00
Nick Cawley, Strategist

Sterling (GBP) Talking Points:

  • Sterling’s recent uplift may come to an abrupt halt.
  • PM May’s leadership may be challenged.

The DailyFX Q3 GBP Forecast is available to download.

UK Politics May Shatter Sterling’s Calm

The weekly Prime Minister’s Questions Time in the House of Commons today, between 12.00pm and 12.30pm, is likely to be a raucous affair as Conservative rebels gather to question the PM on the latest Brexit negotiations. According to news sources, around 50 members of the European Research Group (ERG) could oppose PM May’s Chequers plan and may submit letters of no confidence in the Prime Minister, forcing a new leadership election. Hard-line Conservative Brexiteers believe that the Chequers plan doesnot go far enough and that an improved version of the Canada deal is better for the UK.

This internal-turmoil comes at a time when Sterling has been moving higher, driven by a more conciliatory tone from the EU over future trade between the EU and UK. After hitting 1.2660 in mid-August against the US dollar, GBPUSD has pushed back above 1.3000 and continues to build a base, despite a strong US dollar. Two-year US Treasuries currently yield 2.74%, a decade high as the Fed limbers up to raise interest rates yet again later this month.

GBPUSD Daily Price Chart (March 6 – September 12, 2018)

GBPUSD Price Volatility Expected Ahead of Potential Brexit Showdown

IG Retail Sentiment data show that retail traders are 68.2% net-long GBPUSD giving us a bearish contrarian trading bias.

Bank of England and US Inflation on Thursday

The Bank of England is expected to leave all monetary policy settings unchanged on Thursday but may well give the market their updated view on Brexit negotiations and preparations. BoE governor Carney extended his tenure this week by another six months until January 2020, which should help stabilize Sterling, but US data later in the session may weigh. US consume price inflation has been running near 3% for the past three months, despite recent interest rate hikes. Any further price pressure should see the market firm up expectations for further interest rate hikes in 2019, boosting the US dollar further.

GBPUSD Weekly Technical Outlook: Continuing to Press Higher

GBP Fundamental Outlook: Momentum to Drive Sterling Higher

Traders may 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

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

DISCLOSURES