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
More View more
Real Time News
  • It’s important for traders to be familiar with FX spreads as they are the primary cost of trading currencies. Understand a pair's spread here:
  • Forex sentiment analysis can be a useful tool to help traders understand and act on price behavior. Learn how to get the most out of understanding trader sentiment here:
  • Emotions are often a key driving force behind FOMO. If left unchecked, they can lead traders to neglect trading plans and exceed comfortable levels of risk. Read on and get your emotions in check 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:
  • There are three major forex trading sessions which comprise the 24-hour market: the London session, the US session and the Asian session. Learn about the characteristics of each session here:
  • The Australian Dollar remains vulnerable in the week ahead, eyeing risks such as a dovish RBA, surging Covid cases and recent crackdowns by Beijing. Might US NFPs offer some relief to AUD/USD? Get your weekly AUD forecast from @ddubrovskyFX here:
  • $AUDNZD closed at its lowest since December 2020 Prices pierced the 1.0541 - 1.0564 support zone, exposing the November low at 1.0418 A confirmatory downside close under support next week may open the door to further losses #AUD #RBA
  • Did you know a Doji candlestick signals market indecision and the potential for a change in direction. What are the top five types of Doji candlesticks? Find out
  • The US Dollar seems to be losing its momentum against ASEAN currencies as of late. Could this be another top in USD/SGD, USD/THB, USD/PHP and USD/IDR? Find out from @ddubrovskyFX here:
  • Technical analysis of charts aims to identify patterns and market trends by utilizing differing forms of technical chart types and other chart functions. Learn about the top three technical analysis tools here:
British Pound (GBP) Outlook - GBP/USD Setting Sail Into Potential Cross-Winds

British Pound (GBP) Outlook - GBP/USD Setting Sail Into Potential Cross-Winds

Nick Cawley, Strategist

British Pound (GBP) Price Outlook

  • Bank Holiday shortened week may see sterling volatility rise.
  • BoE and local elections will drive the domestic agenda.

GBP/USD has remained in a fairly narrow trading range over the last two weeks and this may well change next week as various monetary and political risks collide. A Bank Holiday shortened week ahead contains the latest Bank of England (BoE) monetary policy decision and economic updates on Thursday, which may well see the central bank begin to tighten policy by reducing the rate at which it purchases UK bonds over the rest of the year. Thursday also sees the UK local elections and special attention needs to be paid to the Scottish elections where an SNP majority may see IndyRef2 back on the agenda. At the end of the week, the latest US jobs data is likely to confirm the ongoing strength of the US economy, likely giving the greenback a bid.

DailyFX analyst Justin McQueen will be taking an in-depth look at next week’s potential Sterling cross-winds in his weekly GBP Fundamental Forecast posted later today.

For all market-moving economic data and events see the real-time DailyFX calendar.

The daily chart GBP/USD chart shows cable currently trading in a 1.3850-1.4010 range with positive sentiment still intact off a rising trendline. This range needs to broken convincingly – a close and open above or below either resistance or support – to change the recent trend before next week’s data and events come into play. End-of-month fund re-positioning flows are currently seen as marginally positive for GBP/USD at today’s 15:00 GMT fix, while US PCE (12:30 GMT) and Michigan Consumer Sentiment (14:00 GMT) are also released today and should be closely followed.

GBP/USD Daily Price Chart (October 2020 – April 30, 2021)

British Pound (GBP) Outlook - GBP/USD Setting Sail Into Potential Cross-Winds

Retail trader data show 50.75% of traders are net-long with the ratio of traders long to short at 1.03 to 1.We typically take a contrarian view to crowd sentiment, and the fact traders are net-long suggests GBP/USD prices may continue to fall.

Yet traders are less net-long than yesterday and compared with last week. Recent changes in sentiment warn that the current GBP/USD price trend may soon reverse higher despite the fact traders remain net-long.

Traders of all levels and abilities will find something to help them make more informed decisions in the new and improved DailyFX Trading Education Centre

What is your view on GBP/USD – bullish or bearish?? You can let us know via the form at the end of this piece or you can contact the author via Twitter @nickcawley1.

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