GBPUSD

Daily Market Comment – Dollar whipsaws on Fed’s dovish guidance, upbeat forecasts

Posted on December 17, 2020 at 9:56 am GMT

Fed commits to current pace of QE until it sees “substantial further progress” Dollar jumps on modest tweak, rosy outlook before being pummelled by dovish Powell Pound continues to soar on Brexit deal optimism, euro climbs new highs too Aussie and kiwi on a roll as strong data, US stimulus hopes maintain bullish momentum Fed disappoints before Powell has to reassure The Federal Reserve pledged on Wednesday to keep buying bonds at the existing pace of $120 billion per month [..]

Daily Market Comment – Two deals in the making and a Fed dilemma

Posted on December 16, 2020 at 10:10 am GMT

US congressional leaders close in on a stimulus deal as talks continue Brexit chatter lifts pound amid rumours a trade deal is within grasp Dollar on the backfoot ahead of least predictable Fed meeting of the year Hopes rise for a deal in Congress Hopes are running high on Capitol Hill that a stimulus deal can be reached after reported progress on Tuesday. US political leaders are set to meet again later today as they inch closer to agreeing on [..]

Bank of England: Dovish message, but no action – Forex News Preview

Posted on December 15, 2020 at 3:45 pm GMT

It is a huge week for sterling. Besides the BoE decision at 12:00 GMT Thursday, there is also a ton of data to keep markets entertained while Brexit negotiators make a final attempt to reach a trade deal. The Bank is unlikely to act, though it may signal that more easing is on the cards next year if the negotiations fail. A dovish message could briefly hurt sterling, but the currency’s ultimate destination depends on the trade talks, where a [..]

Daily Market Comment – Dollar steadies amid fresh virus restrictions; stimulus and Brexit talks linger

Posted on December 15, 2020 at 9:36 am GMT

Tighter virus restrictions dampen vaccine optimism; dollar halts slide, stocks struggle US stimulus talks gain momentum but still no agreement London lockdown knocks pound off its Brexit perch as ‘narrow path’ to deal eyed New virus curbs weigh on sentiment Optimism that an end to the global pandemic is within sight was unable to override the darkening clouds on the immediate horizon as Covid restrictions are on the up again. After Germany’s news that it is to enter a hard [..]

Technical Analysis – GBPUSD confused below the resistance line as Brexit talks continue

Posted on December 15, 2020 at 8:40 am GMT

GBPUSD attempted to recoup last week’s losses on Monday but the tough eight-month old resistance line managed to block the way once again and keep the price within the 1.3300 territory as Brexit negotiations continue. The momentum indicators are providing a mixture of signals as the RSI is trying to recover above its 50 neutral mark, the MACD is gradually losing strength below its red signal line, and the red Tenkan-sen line seems to be flattening around the blue Kijun-sen. [..]

Daily Market Comment – Pound jumps as Brexit deadline extended yet again

Posted on December 14, 2020 at 9:47 am GMT

Pound soars after Britain and the EU agree to continue talking Progress in US stimulus talks also lifts markets’ spirits, dollar sags But cause for caution ahead of Fed meeting, stocks up modestly UK and EU agree to go “extra mile” to get a deal After a bruising week, sterling was once again riding high on renewed optimism for a post-Brexit trade deal on Monday. UK Prime Minister Boris Johnson and European Commission President Ursula von der Leyen had set [..]

Daily Market Comment – ECB ‘disappointment’ lifts euro, equities struggle

Posted on December 11, 2020 at 12:05 pm GMT

Euro jumps after ECB fails to over-deliver on stimulus package Stocks bounce as Mnuchin hails progress in stimulus talks, but fall back Oil breaks higher, unscathed by recent negative developments Brexit will continue to dominate ahead of Sunday ‘deadline’ ECB firepower fails to impress markets, euro spikes Those looking for a euro-killing stimulus package by the European Central Bank were left disappointed yesterday, with policymakers delivering exactly as much ‘juice’ as markets anticipated. The Bank expanded its QE program by [..]

Technical Analysis – GBPUSD rebounds off 38.2% Fibonacci; some gains are expected

Posted on December 11, 2020 at 7:19 am GMT

Following an aggressive sell-off, GBPUSD found support at the 38.2% Fibonacci retracement level of the up leg from 1.2854 to 1.3538 at 1.3276and is currently posting some gains over the latest 4-hour sessions The price plummeted beneath the 20- and 40-period simple moving averages, while the momentum indicators are continuing to move in the negative territory. However, the RSI is trying to recover, while the MACD is flattening. More advances could send the price towards the 20-period simple moving average (SMA) at 1.3354 before touching the 23.6% [..]

Daily Market Comment – Can the ECB muster enough firepower to sink the euro?

Posted on December 10, 2020 at 10:06 am GMT

ECB decision the main event today, can policymakers over-deliver? Stock markets retreat from record highs as US stimulus talks stall Pound drops after top-level Brexit meeting yields no breakthrough Gold under pressure too, yet aussie dollar defies cautious mood ECB preview: Sinking the euro won’t be easy The spotlight will fall on the European Central Bank today, which is widely expected to deliver another easing package of around €500bn, likely complemented by more ultra-generous loans to banks. The bad news [..]

UK recovery stumbles as no-deal Brexit risks spike; pound oblivious – Forex News Preview

Posted on December 9, 2020 at 2:35 pm GMT

Growth data out of the United Kingdom will kick off Thursday’s European session at 07:00 GMT when traders are likely to wake up to fresh Brexit headlines. Prime Minister Boris Johnson is due to travel to Brussels later today to try and salvage a post-Brexit trade agreement with the European Union, with only three weeks to go until the end of the transition period. He is expected to hold talks with European Commission President Ursula von der Leyen over dinner [..]

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