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
Bullish
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
USD/JPY
Mixed
Gold
Bullish
Oil - US Crude
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
Bitcoin
Mixed
More View more
Real Time News
  • While Sino-US trade jitters are temporarily abating, China-Swedish trade tensions are rising as a part of a political contagion of growing economic hostilities between nations across the world. Get your market update from @ZabelinDimitri here:https://t.co/F1fVoyzoz5 https://t.co/z49NzgZrXd
  • RT @malkudsi: Natural Gas Eyes Pushing Higher as Support Holds - Nat Gas Technical Analysis More details in the link below: https://t.co/HG…
  • As prices dance around on charts, traders are often looking for reasons to explain price movements; however, the underlying source of price movement boils down to the relationship between supply and demand. Learn more about the forces of S&D on forex here: https://t.co/8LfkLXbj2W https://t.co/swcuwAMGAk
  • How can traders avoid #FOMO in trading? Start by implementing a well-heeled plan taking only four hours per week. Get your insight from @JStanleyFX here: https://t.co/vwUShQPc27 #tradingstyle https://t.co/4adyTWvQ22
  • What are the Market cycles? How are #currencies impacted in these cycles? How can these cycles impact #forextrading patterns? Find out here: https://t.co/ckr2fUOWqW https://t.co/gLJGj1FAOC
  • Central bank independence has several advantages and disadvantages. Find out what they are in-depth with @MartinSEssex here: https://t.co/wVFXbbTxf1 https://t.co/J0MMkVmCUu
  • Get your stock market basics right - what is the stock market and how does stock trading work? Find out here: https://t.co/JfAJLAtlsY https://t.co/ZfPUxHWeiG
  • The Mexican economy contracted for the first time in almost 10 years in 2019, but growth is expected to pick up in 2020 according to its finance minister. Get your $USDMXN market update from @HathornSabin here: https://t.co/gupJdU7WYT https://t.co/mMN8LFb5i5
  • EUR/USD has been weakening since the start of 2020 and the decline has accelerated this month. At some point there will be a correction but further losses are still likely as the year progresses. Get your $EURUSD market update from @MartinSEssex here: https://t.co/ieJUBNeAIf https://t.co/Dw4f7DQocg
  • The $AUD has risen in anticipation of a deal Washington and Beijing. But the Australia-China trade relationship has not suffered much and may even have been helped by China’s spat with the US. Get your market update from @DavidCottleFX here:https://t.co/An7h5X0Zcz https://t.co/Rn7mLbS1EF
GBP/USD Downtrend Move Cracks, Bears at Risk - GBP vs USD Price Outlook

GBP/USD Downtrend Move Cracks, Bears at Risk - GBP vs USD Price Outlook

2020-01-22 11:00:00
Mahmoud Alkudsi, Market Analyst
Share:

GBP/USD Price Technical Forecast

GBP/USD Price – Indecisive Traders

Last week, Cable declined 1.2954 – its lowest level in three weeks. The market rallied after with some bears seemed to cut back. On Friday, the price closed the weekly candlestick with the third Doji pattern in a row highlighting that market’s indecision is still on.

Alongside that, the Relative Strength Index (RSI) remained flat nearby 50 highlighting weak sellers and weaker buyers.

GBP/USD DAILY PRICE CHART (April 25, 2018 – Jan 22, 2020) Zoomed out

GBPUSD daily price chart 22-01-20 Zoomed out
Traits of Successful Traders
Traits of Successful Traders
Recommended by Mahmoud Alkudsi
Traits of Successful Traders
Get My Guide

GBP/USD DAILY PRICE CHART (Oct 15 – Jan 22, 2020) Zoomed IN

GBPUSD daily price chart 22-01-20 Zoomed in

From the daily chart, we noticed that on Monday Cable rebounded from the low end of current trading zone 1.2965 – 1.3048 reflecting bears hesitation.

On the following day, the market rallied then retreated back to the same trading zone yet closed above the 50-day average generating a bullish signal.

A close above the high end of the zone could entice GBP/USD bulls to lead the price towards 1.3300 contingent on clearing the weekly resistance levels underscored on the chart (zoomed in).

In turn, a close below the high end of the zone could reverse the pair’s course towards the low end of the zone. Further close below this level opens the door for GBPUSD bears to press towards 1.2774. Having said that, the weekly support levels and area marked on the chart should be considered as some traders could join/exit that market around these points.

GBP Forecast
GBP Forecast
Recommended by Mahmoud Alkudsi
Download our fresh Q1 British Pound Forecast
Get My Guide

GBP/USD Four Hour PRICE CHART (DEC 23 – Jan 22, 2020)

GBPUSD four hour price chart 22-01-20

Looking at the four-hour chart, we noticed that on Jan 8 GBP/USD started a downtrend move creating lower highs with lower lows. However, the price currently develops a double bottom pattern. Any violation to the neckline located at 1.3119 could cause a rally towards 1.3276.

Thus, a break above 1.3135 could push the price towards 1.3185. That said, the resistance level underlined on the chart should be watched closely. On the other hand, a break below 1.3013 may send GBPUSD towards 1.2965. Nevertheless, the daily support level underscored on the chart should remain in focus.

See the chart to find out more about key levels Cable would encounter in a further bearish /bullish scenario.

Written By: Mahmoud Alkudsi

Please feel free to contact me on Twitter: @Malkudsi

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

DISCLOSURES

News & Analysis at your fingertips.