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
Wall Street
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
  • 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:
  • GBP/USD’s consolidation could end soon if price breaks out of a symmetrical triangle in play since July. At this time, a downside breakout is likely following the appearance of a death cross. Get your weekly $GBP forecast from @DColmanFX here:
  • 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:
  • The Federal Reserve rate decision is likely to sway the near-term outlook for the price of gold as the central bank appears to be on track to scale back monetary support. Get your weekly gold forecast from @DavidJSong here:
  • Forex liquidity makes it easy for traders to sell and buy currencies without delay, and also creates tight spreads for favorable quotes. Low costs and large scope to various markets make it the most frequently traded market in the world. Learn more here:
  • Forex quotes reflect the price of different currencies at any point in time. Since a trader’s profit or loss is determined by movements in price, it is essential to develop a sound understanding of how to read currency pairs. Learn how to read quotes here:
  • 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:
  • Get your snapshot update of the of top level exchanges and key index performance from around the globe here:
  • RT @FxWestwater: Japanese Yen Forecast: JPY Crosses Eye BoJ, CPI as Haven Flows Bolster Yen Strength Link: https:/…
  • Traders utilize varying time frames to speculate in the forex market. The two most common are long- and short-term-time frames which transmits through to trend and trigger charts. Learn more about time-frame analysis here:
GBPUSD Outlook: Sterling Makes Significant Shift to the Downside

GBPUSD Outlook: Sterling Makes Significant Shift to the Downside

Martin Essex, MSTA, Analyst

GBP price, news and analysis:

  • The ever-decreasing prospect of a UK interest rate hike by the Bank of England is weakening the British Pound following poor economic data.
  • The Bank will likely wait for both an economic pickup and more certainty about Brexit before even considering tightening UK monetary policy.

Sterling undermined by weak UK economy

GBPUSD has dropped below the psychologically important 1.30 level and looks set to weaken further after making a decisive break below the support line of a bearish rising wedge pattern on the daily chart to its lowest level for two weeks.

GBPUSD Price Chart, Daily Timeframe (November 23, 2018 – February 6, 2019)

Latest GBPUSD price chart.

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

The Pound has been undermined over the past week by survey data suggesting the UK economy is now spluttering. The purchasing managers’ index for the UK manufacturing sector, released last Friday, showed a fall in January to 52.8 from 54.2 – well below the predicted 53.5.

That lack of momentum was emphasized Monday by a weaker than expected construction PMI and again Tuesday by the service-sector PMI, which showed a drop from 51.2 to 50.1 – below the forecast 51.0, only a whisker above the 50 level separating expansion from contraction and the lowest for 2-1/2 years.

This suggests the Bank of England will be in “wait and see” mode when it makes its next interest-rate decision Thursday and will be in no hurry to raise rates for the rest of this year.

Brexit talks still stalled

As for Brexit, UK Prime Minister Theresa May will visit Brussels Thursday in yet another attempt to reach a deal but no breakthrough is expected and that too will likely prevent a significant recovery in GBP. A poll by the Reuters news agency released Wednesday showed respondents predicting that sterling will gain between 2% and 5% if the UK parts ways with the EU with a divorce deal but will slide between 5% and 10% in the event of a disorderly Brexit.

More to read:

A Beginner’s Guide to the Bank of England

GBP News and Analysis

British Pound: What Every Trader Needs to Know

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

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