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.

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
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
Gold
Mixed
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
USD/JPY
Bullish
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
  • Get your snapshot update of the of relative currency strength and exchange status from around the globe here: https://t.co/H19vRDCpUJ https://t.co/S74APOiQ3y
  • Two of the main Euro-pairs, $EURUSD and $EURGBP, are being driven by very different drivers. Get your market update from @nickcawley1 here: https://t.co/Vd32Y6HKEr https://t.co/Lgb5z5V1Xa
  • Recessions can devastate the economy and disrupt the fortunes of individuals, businesses, and investors. But economic decline in the business cycle is inevitable, and your trading can be defined by how you respond to crisis. learn how to prepare here: https://t.co/e4CnobJCss https://t.co/9uPXNvDBS5
  • We ended this past week with another cliffhanger. The $SPX teeters on the edge of a breakdown from the post-pandemic recovery. While we have NFPs and other key data ahead, the markets are likely to remain fixated on yields. My outlook for next week: https://www.dailyfx.com/forex/video/daily_news_report/2021/02/27/SP-500-Dollar-Reversal-Hinge-Not-On-NFPs-but-Markets-Risk-Imagination.html?ref-author=Kicklighter&QPID=917719&CHID=9 https://t.co/mlNDDyTgex
  • Make smart trading decisions with your free guide to trade the news. Download your free guide here.https://t.co/pb5E2KgRzW #DailyFXGuides https://t.co/70ZOJ0ZMwF
  • Looking for a new way to trade reversals? One of the most used reversal candle patterns is known as the Harami. Like most candlestick formation patterns, the Harami tells a story about sentiment in the market. Get better with trading reversals here: https://t.co/rfwUWJfbz9 https://t.co/SyroornFf5
  • MACD who? The Moving Average Convergence Divergence (MACD) is a technical indicator which simply measures the relationship of exponential moving averages (EMA). Find out how you can incorporate MACD into your trading strategy here: https://t.co/ZNs4QhQGQ6 https://t.co/KrMcyZZqO7
  • The Reserve Bank of Australia (RBA) rate decision may spark a bullish reaction in $AUDUSD as the central bank is expected to retain the current course for monetary policy. Get your market update from @DavidJSong here: https://t.co/WbcR9ER0qT https://t.co/TynsqCtPQ6
  • Gold has broken below a critical support confluence we’ve been tracking for months now and the risk remains for further losses while below this threshold in the weeks ahead. Get your $XAUUSD market update from @MBForex here:https://t.co/xgN2obaIWR https://t.co/H71ufPNkPg
  • Knowing how to accurately value a stock enables traders to identify and take advantage of opportunities in the stock market. Find out the difference between a stock's market and intrinsic value, and the importance of the two here: https://t.co/QszmdZFxlk https://t.co/Evr5KgUjVo
British Pound (GBP) Latest: Trending Lower, Waiting for Latest Brexit News

British Pound (GBP) Latest: Trending Lower, Waiting for Latest Brexit News

Martin Essex, MSTA, Analyst

GBP price, Brexit news and analysis:

  • GBP/USD is trending lower, and EUR/GBP higher, as Sterling markets are buffeted one way then the other by headlines suggesting an EU-UK trade is likely, or unlikely.
  • This makes it very difficult to trade the British Pound, although it continues to fall back after GBP/USD traded above 1.35 on December 4.
  • The UK unemployment rate rose by less than expected in October but economic data are having little impact on GBP/USD or the GBP crosses.
Advertisement

GBP/USD will continue to be buffeted by Brexit news

GBP/USD, EUR/GBP and the Sterling crosses will continue to trade on headlines suggesting that an EU-UK trade deal is close ahead of the Brexit implementation period ending on December 31, or that the two sides remain far apart on the key issues of fishing, the level playing field and governance.

However, as the chart below shows, GBP/USD continues its broad slide lower since the pair touched 1.3540 on December 4, suggesting the risk of further losses near-term, particularly if the current Brexit talks break down.

GBP/USD Price Chart, One-Hour Timeframe (December 4-15, 2020)

Latest GBP/USD price chart.

Source: IG (You can click on it for a larger image)

GBP/USD BEARISH
Data provided by
of clients are net long. of clients are net short.
Change in Longs Shorts OI
Daily 13% -25% -11%
Weekly 28% -40% -19%
What does it mean for price action?
Get My Guide

One possible outcome is that the two sides reach an agreement by year-end, allowing them to claim credit for their statecraft, but that the full text, written by lawyers, will be so convoluted it will be essentially a fudge. It is still possible though that the talks could break down, or even continue into the new year.

In the meantime, there are fears that the coronavirus pandemic is hitting the UK harder than some other countries, though this is a secondary factor for GBP. Also, very little attention is being paid currently to UK economic data.

Tuesday’s European session opened with figures showing a smaller rise than expected in the UK unemployment rate in October but the statistics were largely ignored as traders continue to focus on Brexit.

UK unemployment data.

Source: DailyFX

Trading Forex News: The Strategy
Trading Forex News: The Strategy
Recommended by Martin Essex, MSTA
Trading Forex News: The Strategy
Get My Guide

We look at currencies regularly in the DailyFX Trading Global Markets Decoded podcasts that you can find here on Apple or wherever you go for your podcasts

Interested in trading the London session? Click here for our forex traders guide

--- Written by Martin Essex, Analyst

Feel free to contact me on Twitter @MartinSEssex

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

DISCLOSURES