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
EUR/USD
Bearish
Oil - US Crude
Mixed
Wall Street
Mixed
Gold
Mixed
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
GBP/USD
Bearish
USD/JPY
Bullish
More View more
Real Time News
  • 5 out of 9 Dow Jones sectors ended higher, with 43.3% of the index’s constituents closing in the green. Consumer discretionary (+1.27%) and materials (+0.62%) outperformed, whereas industrials (-0.25%) and communication services (-0.21%) trailed behind. https://t.co/iBLgt4PcYc
  • 🇦🇺 Markit Manufacturing PMI Flash (JUN) Actual: 58.4 Previous: 60.4 https://www.dailyfx.com/economic-calendar#2021-06-22
  • 🇦🇺 Markit Services PMI Flash (JUN) Actual: 56 Previous: 58.0 https://www.dailyfx.com/economic-calendar#2021-06-22
  • Heads Up:🇦🇺 Markit Manufacturing PMI Flash (JUN) due at 23:00 GMT (15min) Previous: 60.4 https://www.dailyfx.com/economic-calendar#2021-06-22
  • Heads Up:🇦🇺 Markit Services PMI Flash (JUN) due at 23:00 GMT (15min) Previous: 58.0 https://www.dailyfx.com/economic-calendar#2021-06-22
  • Increased rate bets following June's FOMC rate decision roiled markets, including commodities. Crude oil received a boost on Iran's election, while gold and copper look to incoming inflation data out of the US. Get your market update from @FxWestwater here:https://t.co/3zlDk5ITnw https://t.co/XQfFLxf4Kq
  • US Dollar Outlook: DXY Slides During Powell's Fed Testimony -via @DailyFX Link to Analysis: https://www.dailyfx.com/forex/fundamental/us_dollar_index/usd_trading_today/2021/06/22/us-dollar-outlook-dxy-slides-during-fed-powell-testimony.html $DXY $USD #Forex https://t.co/aza7FQRnF8
  • If you follow the emerging market currencies, another liquid EM cross to take note of is $USDZAR. Wavering at 14.5000 which is the 100-day moving average and trendline resistance since the pandemic recovery started. Haven appetite or carry competitor? https://t.co/s4PKXRTgo8
  • Through this past session, $USDCNH has climbed for eight straight trading sessions. Longest stretch since June 28, 2018 and one of the few areas the Dollar's climb has persisted https://t.co/sG2Ej804j5
  • The retailer has created an event that sees its sales surpass Black Friday and Cyber Monday combined. Get your market update from @PeterHanksFX here:https://t.co/LCyr0z9DHh https://t.co/xDTXRH1TEj
EURGBP Price Probes One-Year High as Rally Reignites

EURGBP Price Probes One-Year High as Rally Reignites

Nick Cawley, Strategist

EURGBP Price, Chart and Analysis:

  • EURGBP rally re-starts after weeks of small gains.
  • EURGBP is overbought but nears a fresh one-year high.

Q3 2019 EUR and GBP Forecasts andTop Trading Opportunities

Keep up to date with all key economic data and event releases via the DailyFX Economic Calendar

EURGBP is now nearing its highest level in over three-months and may make an attempt on the October 2016 post-Brexit spike high but warning signals are flashing. The recent rally has gathered strong momentum in the past two-weeks, after a period of gentle upside movement, pushing the CCI indicator into overbought territory on the weekly chart. While neither currency can be described as strong, the ongoing Brexit standoff between the UK and the EU is making itself felt more on the British Pound as the clock ticks down to October 31. Both sides have said that they would like to strike a deal, but the EU says the current Withdrawal Agreement is final and will not be changed, while the UK says it must be changed if a deal is to be reached.

What is the Brexit Backstop and How Does it Impact the Pound?

The weekly EURGBP shows the recent strong move higher but may stall as we reach the August 2017 high at 0.9307. If this level is broken and closed above then the pair may make an attempt at 0.9435, back to levels seen just weeks after the UK voted to leave the EU. To the downside, 0.9130 - 0.9116 may stall any sell-off in the short-term, but the chart will still show an upside bias if this level holds firm. Client sentiment – see below – remains bullish.

EURGBP Weekly Price Chart (July 2016 – August 9, 2019)

EURGBP Price Probes One-Year High as Rally Reignites

IG Client Sentiment data shows traders are 17.6% net-long EURGBP, a bullish contrarian bias. Traders are further net-short than yesterday and last week and the combination of current sentiment and recent changes give us a stronger EURGBP bullish contrarian bias.

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 EURGBP – 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