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
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
Oil - US Crude
Mixed
Wall Street
Mixed
Gold
Bullish
GBP/USD
Mixed
USD/JPY
Mixed
More View more
Real Time News
  • 🇲🇽 Unemployment Rate (DEC) Actual: 3.8 Expected: 4.3% Previous: 4.4% https://www.dailyfx.com/economic-calendar#2021-01-21
  • IG Client Sentiment Update: Our data shows the vast majority of traders in Ripple are long at 100.00%, while traders in Wall Street are at opposite extremes with 70.59%. See the summary chart below and full details and charts on DailyFX: https://www.dailyfx.com/sentiment https://t.co/fRoUoqtGbc
  • Heads Up:🇲🇽 Unemployment Rate (DEC) due at 12:00 GMT (15min) Expected: 4.3% Previous: 4.4% https://www.dailyfx.com/economic-calendar#2021-01-21
  • Commodities Update: As of 11:00, these are your best and worst performers based on the London trading schedule: Silver: 0.31% Gold: 0.02% Oil - US Crude: -0.82% View the performance of all markets via https://www.dailyfx.com/forex-rates#commodities https://t.co/Kn8mdyS57Y
  • Forex Update: As of 11:00, these are your best and worst performers based on the London trading schedule: 🇳🇿NZD: 0.53% 🇬🇧GBP: 0.43% 🇦🇺AUD: 0.27% 🇨🇭CHF: 0.18% 🇯🇵JPY: 0.10% 🇨🇦CAD: 0.03% View the performance of all markets via https://www.dailyfx.com/forex-rates#currencies https://t.co/mwWxyHchSd
  • Euro’s forecast this quarter? Get your free forecast here: https://t.co/kpBYVz31Bd #DailyFXGuides https://t.co/Im099ElT61
  • Indices Update: As of 11:00, these are your best and worst performers based on the London trading schedule: Germany 30: 0.49% US 500: 0.24% Wall Street: 0.16% FTSE 100: 0.14% France 40: -0.07% View the performance of all markets via https://www.dailyfx.com/forex-rates#indices https://t.co/rsPhYcZW22
  • #HSI Hang Seng Index finished slightly below 30,000 mark as Southbound net flow via the stock connections fell three days in a row to HK$ 16,263 million, from a record high of 26,592 million on Jan 19th. Total southbound flows contributed to 31% HKEX's daily turnover on Thur. https://t.co/YkxXUHEFRa
  • 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 more about controlling greed here: https://t.co/5GXReUsKRj https://t.co/edSSfv0SfT
  • Join @PaulRobinsonFX 's webinar at 5:30 AM EST/10:30 AM GMT where you can learn how to become a better trader in the current market climate. Register here: https://t.co/WeWGKtdlyz https://t.co/MPcM0lepdX
GBP/USD Forecast: Pound Weakness to Persist Amid Break of April Low

GBP/USD Forecast: Pound Weakness to Persist Amid Break of April Low

David Song, Strategist

British Pound Talking Points

GBP/USD carves a series of lower highs and lows as it gives back the rebound from the monthly low (1.2075), and the exchange rate may continue to exhibit a bearish behavior as it snaps the April range.

Technical Forecast for British Pound: Bearish

The British Pound has depreciated against all of its major counterparts so far in May, and the weakness may persist over the remainder of the month as the recent decline in GBP/USD produces a break of the April low (1.2164).

The bearish development materialized following the string of failed attempts to clear the 200-Day SMA (1.2654), and GBP/USD may continue to retrace the advance from the yearly low (1.1410) as the break of the range bound price action signals a potential shift in market behavior.

However, the flat slope in the simple moving average offers a mixed outlook, with the Relative Strength Index (RSI) highlighting a similar as the oscillator fails to preserve the bearish formation from earlier this month.

GBP/USD Rate Daily Chart

GBPUSD Forecast

Source: Trading View

GBP/USD carves a series of lower highs and lows following the failed attempt to push back above the 1.2300 (50% retracement) handle, with the move below the 1.2220 (23.6% expansion) to 1.2240 (61.8% expansion) region bringing the Fibonacci overlap around 1.2090 (38.2% retracement) to 1.2100 (61.8% expansion) on the radar, which largely lines up with the monthly low (1.2075).

A break/close below the overlap around 1.2090 (38.2% retracement) to 1.2100 (61.8% expansion) opens up the 1.1950 (78.6% expansion) region, with the next area of interest coming in around 1.1820 (23.6% retracement).

Will keep a close eye on the RSI even though it fails to preserve the downward trend from earlier this month as the oscillator develops a negative slope and appears to be making its way towards oversold territory.

--- Written by David Song, Currency Strategist

Follow me on Twitter at @DavidJSong

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

DISCLOSURES