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
Oil - US Crude
Wall Street
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
  • The British Pound technical outlook still seems to favor the downside. GBP/CAD may pressure key rising support from August as GBP/AUD could prolong its downtrend. GBP/CHF may fall. Get your $GBP market update from @ddubrovskyFX here: https://t.co/hBOpDKXmfW https://t.co/AJlT2YKeCu
  • USD/JPY is approaching medium-term uptrend resistance and while the outlook remains constructive, the advance may be vulnerable near-term while below confluence resistance. Get your $USDJPY technical analysis from @MBForex here: https://t.co/93D7AyhHtG https://t.co/KQcLLrkMP3
  • AUD/USD has had the most impressive show of trend over the past couple of months with the pair gaining almost 1500 pips from the March low. Get your $AUDUSD technical analysis from @JStanleyFX here: https://t.co/vLz4Rpln3u https://t.co/AOwnJja5V8
  • Has the #Euro been saved? Find out from @CVecchioFX here: https://t.co/eiXfOTyGa6 https://t.co/AyRiYpb4cN
  • U.S. Market Analyst at https://t.co/JsVsSmefgR, Shain Vernier covers - ✔️ Safe haven assets in volatile markets ✔️ Central banks and governments ✔️ How will commodities trade in a recession Only on Trading Global Markets Decoded #podcast. Tune in here: https://t.co/1UmEzEbwiy https://t.co/ygwjGNvS61
  • The $USD, Euro, British Pound and Australian Dollar will all be at the mercy of political developments in Asia, Europe and North America this week. An avalanche of PMI data will set the backdrop. Find out from @ZabelinDimitri here: https://t.co/L8cfAgVx94 https://t.co/THWhPAS6AM
  • The price of #gold plunged 1% immediately after the stunning US jobs report crossed the wires. Get your market update from @RichDvorakFX here: https://t.co/8i0L6YIqjy https://t.co/y9dIXazJf9
  • S&P 500, Dow Jones, Nasdaq explode higher with stocks surging in response to shockingly better-than-expected monthly jobs data. Get your #equities market update from @RichDvorakFX here: https://t.co/nuMVWOzzuC https://t.co/M3nGBjd7kZ
  • The record-breaking NFPs increase behind us and the FOMC rate decision on Wednesday sets the tone for my trading video: 'Dow Soars Above 200-Day Average on NFPs, Will the #Fed Keep the Dollar Sliding' https://www.dailyfx.com/forex/video/daily_news_report/2020/06/06/Dow-Soars-Above-200-Day-Average-on-NFPs-Will-the-Fed-Keep-the-Dollar-Sliding.html?ref-author=Kicklighter&QPID=917719&CHID=9 https://t.co/kquvec5HVc
  • Seasonal factors, oversupply issues and the outbreak of COVID-19 has seen the price of liquefied #naturalgas (LNG) fall to 22-year lows (1.519), with the situation exacerbated by ‘fuller-than-normal’ storage facilities. Get your market update here:https://t.co/VOqfkBQ4aR https://t.co/OsaphmqEmu
GBP/USD Technical Analysis: Rally to Fibonacci Resistance

GBP/USD Technical Analysis: Rally to Fibonacci Resistance

2018-01-17 17:46:00
James Stanley, Strategist

Talking Points:

- GBP/USD tested a key support zone last week, but has since posed a 360+ pip rally.

- Retail traders are heavy on the short-side, with a current read of -2.03 via IG Client Sentiment.

- If you’re looking for longer-term analysis behind GBP and/or USD, check out the DailyFX Q1 Forecasts.

GBP/USD Sets Fresh Post-Brexit High

Last year turned out to be rather bullish for the British Pound, as the pair started trending-higher in the first quarter of the year and continued that upward advance into the close of 2017. During this time, a bullish trend-channel showed-up, and prices remained within that trajectory as we opened into 2018. Last week, we investigated a key area of support in the pair, revolving around the 1.3500 psychological level and aided in-part by a key Fibonacci level at 1.3478. This Fibonacci level is the 50% retracement of the ‘Brexit move’ in the pair, taking the June 2016 high down to the October 2016 low.

After a test of support last week, bulls took over, and have pushed prices up to fresh post-Brexit highs, with current resistance showing at the 61.8% retracement of that same Fibonacci study.

GBP/USD Daily: Bullish Trend Channel Defines the Trend

GBP/USD Daily with Trend Channel and Fibonacci Applied

Chart prepared by James Stanley

Fibonacci Resistance a Hurdle for Bulls

Given that we’ve seen a rather aggressive leap from the 50% retracement of the post-Brexit move all the way up to the 61.8% retracement, buyers may want to utilize caution if looking to onboard additional long exposure at current levels. A bit of short-term support has developed over the past couple of days around 1.3750, and for shorter-term stances, this can be investigated as a jumping-off point for bullish continuation strategies.

GBP/USD Hourly: Short-Term Support 1.3750, 61.8% Fibonacci Resistance

GBP/USD Hourly with Short-Term Support Around 1.3750

Chart prepared by James Stanley

Moving Forward:

While the trend is undeniably bullish here, the primary reason for consternation is one of risk-reward. The past couple of days have seen a bit of support develop around the 1.3750 psychological level, but this is so far away from the previous zone of support or any other potential support variables that justifying risk-reward for longer-term bullish cases could prove challenging. Shorter-term approaches can look to near-term support for adding on bullish exposure, but outside of that, traders with longer-term horizons will likely want to wait for a cleaner setup to present itself before chasing the pair-higher.

To read more:

Are you looking for longer-term analysis on GBP/USD? Our DailyFX Forecasts for Q1 have a section specifically for GBP/USD. We also offer a plethora of resources on our GBP/USD page, and traders can stay up with near-term positioning via our IG Client Sentiment Indicator.

--- Written by James Stanley, Strategist for DailyFX.com

To receive James Stanley’s analysis directly via email, please SIGN UP HERE

Contact and follow James on Twitter: @JStanleyFX

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


News & Analysis at your fingertips.