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
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
Oil - US Crude
Bullish
Wall Street
Bullish
Gold
Bearish
GBP/USD
Bearish
USD/JPY
Bullish
More View more
Real Time News
  • I’ve outsmarted the onions! Happy thanksgiving everyone 🦃 https://t.co/RjTjo5nawW
  • Contrary to standard belief, greed and profits are often inversely correlated in trading. Remaining disciplined is key to a successful trading strategy. Learn how to control greed when trading here: https://t.co/5GXReUsKRj https://t.co/S2DZkNw7Tc
  • BoC Governor Macklem: Risk around our projection "roughly balanced" Inflation projected to remain less than 2% into 2023 - BBG $CAD
  • BoC Governor Macklem: BoC expects economy to shrink 5.5% in 2020 Economy to be operating below potential into 2023 Inflation is unusually weak - BBG $CAD
  • BoC Governor Macklem: Rates will stay very low for very long time Very rapid growth of the reopening phase is now over Annual growth to average almost 4% in 2021, 2022 - BBG $CAD
  • Commodities Update: As of 19:00, these are your best and worst performers based on the London trading schedule: Gold: 0.12% Silver: -0.06% Oil - US Crude: -1.57% View the performance of all markets via https://www.dailyfx.com/forex-rates#commodities https://t.co/ccissyaJkX
  • IG Client Sentiment Update: Our data shows the vast majority of traders in Ripple are long at 93.73%, while traders in NZD/USD are at opposite extremes with 74.62%. See the summary chart below and full details and charts on DailyFX: https://www.dailyfx.com/sentiment https://t.co/lk7jdhxDJ0
  • Indices Update: As of 19:00, these are your best and worst performers based on the London trading schedule: Wall Street: -0.15% US 500: -0.20% France 40: -0.21% FTSE 100: -0.22% Germany 30: -0.23% View the performance of all markets via https://www.dailyfx.com/forex-rates#indices https://t.co/7uwhlllhxH
  • Consolidation or bull flag? A bull flag is a continuation pattern that occurs as a brief pause in the trend following a strong price move higher. Learn how to better spot these formations here: https://t.co/yOEvLjKnct https://t.co/N4yw7phA6q
  • IG Client Sentiment Update: Our data shows the vast majority of traders in Ripple are long at 92.96%, while traders in NZD/USD are at opposite extremes with 74.97%. See the summary chart below and full details and charts on DailyFX: https://www.dailyfx.com/sentiment https://t.co/QAczjZNmm1
GBPUSD Weekly Technical Outlook: Building For The Next Leg Higher

GBPUSD Weekly Technical Outlook: Building For The Next Leg Higher

2018-09-02 06:00:00
Nick Cawley, Strategist
Share:

GBPUSD Technical Highlights, Prices and Analysis

  • Daily chart shows GBPUSD sitting in a one cent range.
  • Four-hour chart is sitting on a cluster of moving averages which may provide upward momentum.
  • Retail traders are long, and sentiment remains positive.

We have recently released our Q3 Trading Forecasts for a wide range of Currencies and Commodities, including GBPUSD with our fundamental and medium-term term technical outlook.

GBPUSD retook the 1.3000 ‘headline’ level and has now just faded lower but another, stronger, attempt to turn this into new support looks likely. The pair also sit near the top of 20- and 50-day cloud and need to clear this to push further ahead. The RSI indicator is at a multi-month high, although turning lower, and has plenty of room to push higher before it enters overbought territory. The top of the August 2 ‘bear candle’ at 1.31290 needs to be broken to confirm further strength.

GBPUSD Daily Price Chart (January – August 31, 2018)

GBPUSD Weekly Technical Outlook: Building For The Next Leg Higher

A look at the four-hour GBPUSD chart also confirms the the pair stuck between 1.2957 and 1.3043 although the downside is being probed. Initial support should be provided by the cluster of moving averages currently between 1.2907 and 1.2963. The short-term uptrend from the August 15 low remains in place and coincides with the bottom of the moving average cluster. Support is likley between 1.2800 and 1.2850 if the lower moving average is broken and closed below.

GBPUSD Four-Hour Chart (August 6 – August 31, 2018)

GBPUSD Weekly Technical Outlook: Building For The Next Leg Higher

GBPUSD Client Sentiment

The IG Client Sentiment Indicatorshows us that retail traders are 64.7% net-long GBPUSD, normally a bearish contrarian signal. However, recent changes in daily and weekly sentiment warn that the current GBPUSD price trend may soon reverse higher despite the fact traders remain net-long.

GBPUSD Weekly Technical Outlook: Building For The Next Leg Higher

DailyFX has a vast amount of resources to help traders make more informed decisions. These include a fully updated Economic Calendar, and a raft of constantly updated Educational and Trading Guides

--- Written by Nick Cawley, Analyst

To contact Nick, email him at nicholas.cawley@ig.com

Follow Nick on Twitter @nickcawley1

Other Weekly Technical Forecasts:

Australian Dollar Forecast: AUD/USD Downtrend Resumes, Eyes Mid-2016 Lows as Momentum Fades

Euro Forecast: Euro Holds Monthly Support But Deeper Losses Likely Ahead

US Dollar Forecast: Dollar May Find Better Traction as Liquidity Fills Out in September

Equity Forecast: DAX Eyes July Lows, Dow Jones Trend Remains Up

Japanese Yen Forecast: Technical Signals Mixed After Failed Breakout Follow-Through

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

DISCLOSURES