Never miss a story from Martin Essex

Subscribe to receive daily updates on publications
Please enter valid First Name
Please fill out this field.
Please enter valid Last Name
Please fill out this field.
Please enter valid email
Please fill out this field.
Please select a country

I’d like to receive information from DailyFX and IG about trading opportunities and their products and services via email.

Please fill out this field.

Your Forecast Is Headed to Your Inbox

But don't just read our analysis - put it to the rest. Your forecast comes with a free demo account from our provider, IG, so you can try out trading with zero risk.

Your demo is preloaded with £10,000 virtual funds, which you can use to trade over 10,000 live global markets.

We'll email you login details shortly.

Learn More about Your Demo

You are subscribed to Martin Essex

You can manage your subscriptions by following the link in the footer of each email you will receive

An error occurred submitting your form.
Please try again later.

GBP price, news and analysis:

  • Talk of an extension of the March 29 Brexit deadline for the UK to leave the EU is strengthening GBPUSD.
  • It reached a high of 1.3095 early Thursday, its strongest level since November 8 last year, before easing back marginally, and could yet extend its gains.

GBP price firm; further gains possible

GBPUSD hit its highest level Thursday since early November before easing back a tad. It now seems to be in a good place to extend its gains, having climbed above the psychologically important 1.30 level that may limit any losses.

GBPUSD Price Chart, Daily Timeframe (September 12, 2018 – January 24, 2019)

Latest GBPUSD price chart pre Brexit.

Chart by IG (You can click on it for a larger image)

Sterling’s primary driver remains Brexit and it is benefiting from speculation that the so-called Article 50 deadline of March 29 for the UK to leave the EU could be extended.

Meanwhile, from a technical perspective, the next target will likely be the high at 1.3175 reached on November 7 last year. To the downside, trendline support lies at 1.2832 if 1.30 is breached.

Bullish signal from sentiment data

In the meantime, retail trader sentiment data show 44.5% of GBPUSD traders are net-long, with the ratio of traders short to long at 1.25 to 1. The number of traders net-long is 6.4% lower than yesterday and 15.1% lower than last week, while the number of traders net-short is 17.4% higher than yesterday and 31.3% higher from last week.

At DailyFX, we typically take a contrarian view to crowd sentiment, and the fact traders are net-short suggests the GBPUSD price may continue to rise. Traders are further net-short than yesterday and last week, and the combination of current sentiment and recent changes gives us a stronger GBPUSD-bullish contrarian trading bias.

More to read:

Brexit Timeline Infographic

Brexit Effect on Pound and UK Stocks

Using News and Events to Trade Forex

Resources to help you trade the forex markets:

Whether you are a new or an experienced trader, at DailyFX we have many resources to help you:

--- Written by Martin Essex, Analyst and Editor

Feel free to contact me via the comments section below, via email at or on Twitter @MartinSEssex