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.

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
GBP/USD
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
More View more
Real Time News
  • When it comes to buying and selling forex, traders have unique styles and approaches. Learn about buying and selling forex here: https://t.co/D8DXSAdpqC https://t.co/nfiFAlyYXv
  • Slippage can be a common occurrence in forex trading but is often misunderstood. Understanding how forex slippage occurs can enable a trader to minimize negative slippage, while potentially maximizing positive slippage. Learn about FX slippage here: https://t.co/Blrl0unrdT https://t.co/mIsVJ4zTbB
  • What is your forex trading style? Take the quiz and find out: https://t.co/YY3ePTpzSI https://t.co/hymrumanUY
  • Greed is a natural human emotion that affects individuals to varying degrees. Unfortunately, when viewed in the context of trading, greed has proven to be a hindrance more often than it has assisted traders. Learn how to control greed in trading here: https://t.co/kODPAfs2Iz https://t.co/6dAqxsVfxJ
  • The results of this weekend’s German Federal Election will likely dominate Euro sentiment at the start of the week ahead but after a possible EUR/USD bounce they will have little long-term impact. Get your weekly $EUR forecast from @MartinSEssex here: https://t.co/Xu3ZT7EtrW https://t.co/5VHKn52MaA
  • The Consumer Price Index, better known by the acronym CPI, is an important economic indicator released on a regular basis by major economies to give a timely glimpse into current growth and inflation levels. Learn how to better understand CPI here: https://t.co/nAa0fHq4Np https://t.co/mf9rsmIvaW
  • A currency carry trade involves borrowing a low-yielding currency in order to buy a higher yielding currency in an attempt to profit from the interest rate differential. Find out if the carry trade suits your trading style here: https://t.co/7t4BzmLg8w https://t.co/mYWO0Eta0P
  • Sterling continues to contract into trend extremes and the focus is on a pending breakout in the weeks ahead. Get your weekly $GBP technical forecast from @MBForex here: https://t.co/ZvEMQuFjSs https://t.co/rMmq9cehnY
  • Japanese candlesticks are a popular charting technique used by many traders, and the shooting star candle is no exception. Learn about the shooting star candlestick and how to trade it here: https://t.co/mfwJ0sZLTs https://t.co/tm4k3IVzHr
  • Do you know how to properly Identify a double top formation? Double tops can enhance technical analysis when trading both forex or stocks, making the pattern highly versatile in nature. Learn more about the double top formation here: https://t.co/t9FlspUVZz https://t.co/FFMy5O9YoY
EURUSD Price: Rally Running out of Steam Despite USD Weakness

EURUSD Price: Rally Running out of Steam Despite USD Weakness

Nick Cawley, Strategist
  • EURUSD chart resistance coming into play
  • US 3Q GDP and Eurozone Consumer Confidence readings out later.

EURUSD Slips Lower Going into the Festive Break:

This week’s 2 cent rally in EURUSD is now fading as traders square up their books ahead of the Christmas break. The move has been fueled by a weak US dollar on fears that a recession may be looming in late 2019-early 2020. US Treasury yields have fallen lower, weakening the greenback, while the sharp sell-off in the US equity markets has seen money pulled out of the previously risk-adverse US dollar and put to work in other haven currencies and assets. The Euro has not been immune from bad news with recent hard data prints from both Germany and the single-bloc missing expectations and pointing to weak growth prospects ahead, just as the ECB bond buying program finishes.

Later today the latest US Q3 GDP reading is expected to show the American economy is still in rude health, while later the December Euro-Zone consumer reading is expected to fall further into negative territory putting further downside pressure on EURUSD.

EURUSD Price: Rally Running out of Steam Despite USD WeaknessEURUSD Price: Rally Running out of Steam Despite USD Weakness

Q4 Trading Forecasts including USD and EUR.

The EURUSD 1.1300 – 1.1500 trading range in place since mid-October remains in place and should hold over the coming days as turnover fades lower. The 200-day moving average remains pointing lower and will act as a hard cap against any rally. The RSI indicator is also at ’highs’ last seen a couple of months ago and is turning lower, while the 20-day and 50-day moving average crossover at 1.1365 is the next short-term downside target.

EURUSD Daily Price Chart (March - December 21, 2018)

EURUSD Price: Rally Running out of Steam Despite USD Weakness

IG Client Sentiment Datashow investors are currently 46.9% net-long, a bullish contrarian indicator. However recent positional shifts give us a mixed trading outlook.

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.

What is your view on EURUSD – bullish or bearish?? You can let us know via the form at the end of this piece or you can contact the author at nicholas.cawley@ig.comor via Twitter @nickcawley1.

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

DISCLOSURES