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
Bearish
GBP/USD
Mixed
USD/JPY
Bullish
More View more
Real Time News
  • Crude Oil Prices Rise as Iran Nuclear Talks Yield No Progress https://www.dailyfx.com/forex/market_alert/2021/06/21/Crude-Oil-Prices-Rise-as-Iran-Nuclear-Talks-Yield-No-Progress.html https://t.co/0SqVDFbEV7
  • Indices Update: As of 07:00, these are your best and worst performers based on the London trading schedule: US 500: -0.18% Wall Street: -0.24% Germany 30: -0.40% FTSE 100: -0.45% France 40: -0.53% View the performance of all markets via https://www.dailyfx.com/forex-rates#indices https://t.co/ogVOurA7J6
  • Gold Prices Vulnerable to Further Losses as Tapering Fears Intensify https://www.dailyfx.com/forex/market_alert/2021/06/21/Gold-Prices-Vulnerable-to-Further-Pullback-as-Tapering-Fears-Intensify-.html https://t.co/RQ2xpIsbr5
  • The Spinning Top candlestick pattern forms part of the vast Japanese candlestick repertoire with its own distinct features. Gain a better understanding of the spinning top candlestick here: https://t.co/DWm7cBMUg9 https://t.co/asNhHKDcHC
  • IG Client Sentiment Update: Our data shows the vast majority of traders in Gold are long at 86.87%, while traders in France 40 are at opposite extremes with 72.59%. See the summary chart below and full details and charts on DailyFX: https://www.dailyfx.com/sentiment https://t.co/7Pbzdipj8Y
  • What is your forex trading style? Take the quiz and find out: https://t.co/YY3ePTpzSI https://t.co/N16mLBXjZm
  • Forex Update: As of 04:00, these are your best and worst performers based on the London trading schedule: 🇯🇵JPY: 0.35% 🇳🇿NZD: 0.35% 🇦🇺AUD: 0.19% 🇨🇦CAD: 0.00% 🇪🇺EUR: -0.02% 🇬🇧GBP: -0.02% View the performance of all markets via https://www.dailyfx.com/forex-rates#currencies https://t.co/PguaVlVV3X
  • Indices Update: As of 04:00, these are your best and worst performers based on the London trading schedule: France 40: -0.40% US 500: -0.47% Wall Street: -0.56% FTSE 100: -0.61% Germany 30: -0.71% View the performance of all markets via https://www.dailyfx.com/forex-rates#indices https://t.co/nlzwBMASyE
  • NZD/USD IG Client Sentiment: Our data shows traders are now at their most net-long NZD/USD since Mar 29 when NZD/USD traded near 0.70. A contrarian view of crowd sentiment points to NZD/USD weakness. https://www.dailyfx.com/sentiment https://t.co/KjSeAJnime
  • (ASEAN Fundy) US Dollar Forecast: Fed Offers Best Week in Months, Pressuring SGD, THB, IDR, PHP #USD #Fed $USDSGD $USDTHB $USDIDR $USDPHP https://www.dailyfx.com/forex/fundamental/article/special_report/2021/06/21/US-Dollar-Forecast-Fed-Offers-Best-Week-in-Months-Pressuring-SGD-THB-IDR-PHP.html?CHID=9&QPID=917702&utm_source=Twitter&utm_medium=Dubrovsky&utm_campaign=twr https://t.co/f8PgxoAoSG
British Pound Surges as EU, UK Near Brexit Deal

British Pound Surges as EU, UK Near Brexit Deal

Brexit Latest Developments:

  • After last week's joint statement from UK Prime Minister Boris Johnson and Irish Taoiseach Leo Varadker, it appears that more progress has been made towards avoiding a no-deal, hard Brexit.
  • If the Irish border issue is overcome - not a guarantee as approval hinges upon UK PM Johnson's DUP ally - the path may be clear for an October 31 Brexit.
  • Retail trader positioning suggests that the British Pound may continue to rally in the coming days.

Looking for longer-term forecasts on the British Pound? Check out the DailyFX Trading Guides.

GBP/USD has spiked to fresh session highs, making a break above its 200-SMA for the first time since May following source reports that UK and EU negotiators are closing in on a draft Brexit deal. Consequently, expectations have risen that there could be a breakthrough reached ahead of the EU-UK summit later this week.

DUP Support is Still Needed, However

The report also goes on to state that any deal that can be agreed between the UK and EU will hinge on the DUP, given that their support will be crucial in raising the likelihood that a deal could be passed on parliament. Of note, the Tory Brexiteer group, the ERG, has signaled that they are willing to back a deal that the DUP supports. As such, the British Pound will remain volatile with eyes back on the DUP’s response.

GBPUSD RATE TECHNICAL ANALYSIS: 5-MINUTE CHART (OCTOBER 9 to 15, 2019 INTRADAY) (CHART 1)

Please add a description for the image.

The British Pound has been on a tear the past few days as the prospect of a no-deal, hard Brexit has faded. GBP/USD rates have been particularly strong, gaining ground on nearly a straight line since the first bit of goods news was revealed on October 10. Since the October 10 joint statement by UK PM Johnson and Irish Taoiseach Varadker, GBP/USD has rallied from near 1.2220 to over 1.2780 at the time of writing.

UPCOMING KEY BREXIT DATES

There is a last minute EU-UK summit scheduled for October 17 to 18 in order to try and hammer out the details for the October 31 Brexit deadline. Thanks to the passage of the Benn Act at the start of September, UK parliament now has a procedure in place to prevent UK PM Johnson from forcing through a no-deal, hard Brexit.

But now that Irish Taoiseach and UK PM Johnson have identified a “path forward,” and that EU and UK negotiators are said to be closing in on a deal, it appears that the EU-UK summit will yield more clarity on the run-up to October 31.

FX TRADING RESOURCES

Whether you are a new or experienced trader, DailyFX has multiple resources available to help you: an indicator for monitoring trader sentiment; quarterly trading forecasts; analytical and educational webinars held daily; trading guides to help you improve trading performance, and even one for those who are new to FX trading.

--- Written by Christopher Vecchio, CFA, Senior Currency Strategist and Justin McQueen, Currency Analyst

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

DISCLOSURES