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. See our updated Privacy Policy here.

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
More View more
British Pound Offers Attractive Opportunity to Sell

British Pound Offers Attractive Opportunity to Sell

David Rodriguez, Head of Product
ssi_gbp-usd_body_Picture_15.png, British Pound Offers Attractive Opportunity to Sell

GBPUSDRetail FX traders are near their most short the British Pound against the US Dollar since it set its $1.6150, and extremely low volatility prices suggest the GBPUSD will fail at major peaks.

Trade Implications – GBPUSD: Our sentiment-based trading strategies have done especially well buying GBP as crowds sell, but future performance could suffer as our data shows most traders have done well in low-volatility conditions.

We would rather play the probabilities here: forex volatility prices are near year-to-date lows, and we put low odds on a major GBPUSD break higher. This runs counter to our typical view of retail trader sentiment, but we prefer joining the crowd and selling against the GBPUSD highs.

--- Written by David Rodriguez, Quantitative Strategist for DailyFX.com

ssi_gbp-usd_body_Picture_16.png, British Pound Offers Attractive Opportunity to Sell

Automate our SSI-based trading strategies via Mirror Trader free of charge

To receive the Speculative Sentiment Index and other reports from this author via e-mail, sign up for his distribution list via this link.

Contact David via

Twitter at http://www.twitter.com/DRodriguezFX

Facebook at http://www.Facebook.com/DRodriguezFX

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

DISCLOSURES