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.

Free Trading Guides
EUR/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
GBP/USD
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
USD/JPY
Mixed
Gold
Bearish
Oil - US Crude
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
Bitcoin
Bearish
More View more
Notice

DailyFX PLUS Content Now Available Freely to all DailyFX Users

Real Time News
  • Indices Update: As of 07:00, these are your best and worst performers based on the London trading schedule: France 40: -0.07% Germany 30: -0.13% Wall Street: -0.33% US 500: -0.36% View the performance of all markets via https://www.dailyfx.com/forex-rates#indices https://t.co/LkYHBL0dUI
  • JPY BOJ Kuroda: Will closely examine prices, economy at next meeting
  • CHF Switzerland Aug Exports MM Actual: -4.4% Previous: -1.2% Imports MM Actual: 1.0% Previous: -0.5% Swiss Watch Exports YY Actual: 1.5% Previous: 4.7%
  • European Opening Calls: From IG #FTSE 7299 -0.20% #DAX 12384 -0.04% #CAC 5621 +0.01% #IBEX 9046 +0.16% #STOXX 3529 +0.03%
  • Follow @DailyFXedu for your regular #webinar updates with @DailyFX analysts and catch up on the webinars you missed. https://t.co/72SjAaa27X
  • My trading video for today: $Dollar and S&P 500 Strategy for the #FOMC Rate Decision' https://www.dailyfx.com/forex/video/daily_news_report/2019/09/19/Dollar-and-SP-500-Steady-After-Fed-Cut-Monetary-Policy-Remains-Top-Concern.html?utm_source=Twitter&utm_medium=Kicklighter&utm_campaign=twr
  • How can you avoid #FOMOintrading with easy seven steps to creating a trading plan? Find out from @RichardSnowFX here: https://t.co/y2UvtIRZAG https://t.co/mBzJBviQDO
  • 🇯🇵 (JPY) All Industry Activity Index (MoM) (JUL), Actual: 0.2% Expected: 0.2% Previous: -0.7% https://www.dailyfx.com/calendar?utm_source=Twitter&utm_medium=TweetRobot&utm_campaign=twr
  • IG Client Sentiment Update: Our data shows the vast majority of traders in Ripple are long at 97.35%, while traders in France 40 are at opposite extremes with 83.89%. See the summary chart below and full details and charts on DailyFX: https://www.dailyfx.com/sentiment https://t.co/SXDGRBOC4e
  • Heads Up:🇯🇵 JPY All Industry Activity Index (MoM) (JUL) due at 04:30 GMT (15min), Actual: N/A Expected: 0.2% Previous: -0.8% https://www.dailyfx.com/economic-calendar#2019-09-19
GBPUSD Price to Test Strong Support; Brexit Mayhem, Political Meltdown

GBPUSD Price to Test Strong Support; Brexit Mayhem, Political Meltdown

2019-05-08 08:10:00
Nick Cawley, Analyst
Share:

GBPUSD Price and Latest Brexit News:

  • GBPUSD fades into strong support.
  • Brexit deal increasingly unlikely. PM May’s position looking untenable.

Q2 2019 GBP and USD Forecasts andTop Trading Opportunities

GBPUSD Nears a Cluster of Support

After spiking up to a one-month of 1.3180 last Friday, GBPUSD has been fading lower and is now trading either side of 1.3040 as UK politics weigh on the British Pound. The US dollar is trading lower, yet the pair continue to slip as Brexit reasserts itself with talk that the UK will now take part in the European elections, that PM May’s leadership is under serious threat and that a second referendum is being openly discussed. Ongoing cross-party Brexit talks have produced no new ideas or plans, and it may be that the Labour Party now push for a General Election, another negative for Sterling. GBPUSD has traded with a positive Brexit premium built in over the last few weeks but this now seems to be gradually being priced-out.

Sterling (GBP) Price Outlook: Brexit Anger May Dampen Sterling Strength.

GBPUSD nears a cluster of support that needs to hold if the pair are to move higher. The 50-day moving average is situated at 1.3010, ahead of the 200-day ma at 1.2972 and the horizontal trend support around 1.2960. It is likely that the last of these three levels should hold if tested although a break and close below would open Fibonacci retracement at 1.2894 and the recent near three-month low at 1.2866.

DailyFX Economic Calendar

GBPUSD Daily Price Chart (August 2018 – May 8, 2019)

GBPUSD Price to Test Strong Support; Brexit Mayhem, Political Meltdown

Retail traders are 64.5% net-long GBPUSD according to the latest IG Client Sentiment Data. See how recent daily and weekly positional changes affect GBPUSD and currently give us a stronger contrarian bearish 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 GBPUSD – 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.

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

DISCLOSURES

News & Analysis at your fingertips.