All Articles Tagged - GBPUSD

Technical Analysis – GBPUSD downtrend could stay in play

Posted on September 5, 2023 at 10:11 am GMT

GBPUSD returned to the red zone on Tuesday, plunging to a new two-and-a-half-month low of 1.2527 after Monday’s bullish efforts evaporated immediately near the 1.2625 constraining area. The trend has been negative since July and the bearish crossing of the 20- and 50-day SMAs is causing concern for the near future. Moreover, the technical indicators are pointing to a continuous decline as the RSI has reversed course back to the downside below its 50 neutral mark, and the MACD has [..]

Technical Analysis – GBPUSD attempts rebound from 2-month low

Posted on August 29, 2023 at 8:03 am GMT

GBPUSD had been in a prolonged uptrend since October 2022, storming to a fresh 15-month high of 1.3141 on July 14. However, since then, the pair has been experiencing a prolonged downside correction, with the price falling to a fresh two-month low of 1.2547 last Friday before recouping some losses. The short-term oscillators currently suggest that near-term risks are tilted to the downside. Specifically, the RSI is positively charged but remains well within the negative zone, while the MACD is found below [..]

Technical Analysis – GBPUSD flirts with the completion of a Head and Shoulders

Posted on August 28, 2023 at 12:33 pm GMT

GBPUSD slid last week, and it is now flirting with the 1.2600 level which appears to be the neckline of a Head and Shoulders (H&S) that’s been forming since June 14. Overall, the pair is trading below the uptrend line drawn from the low of October 12, below the 50- and 100-day exponential moving averages (EMAs), but still above the 200-day EMA. A completion of the H&S pattern and a dip below that moving average may be needed to signal [..]

Market Comment – Equities climb despite Jackson Hole’s higher for longer warning

Posted on August 28, 2023 at 9:20 am GMT

Rate hike odds edge up after Powell and Lagarde signal inflation fight not over But dollar steady as yields barely budge, Wall Street closes higher China announces more stimulus, stocks jump before paring gains Powell strikes a balanced tone Markets were still digesting Powell’s Jackson Hole speech on Monday amid a mixture of relief and trepidation after the Fed chief struck a mostly balanced tone on the rate outlook with a slightly hawkish tint. As had been widely anticipated, Powell’s [..]

Technical Analysis – GBPUSD’s negative dynamics return

Posted on August 24, 2023 at 1:26 pm GMT

GBPUSD drifted back lower after the 20-day simple moving average (SMA) capped yesterday’s bounce off the 1.2615 floor for the fifth consecutive day. The RSI has changed direction to the downside in the bearish area, reflecting strengthening selling attitude, though with the MACD stalling its decline near its red signal line, the pair might have another opportunity for a rebound. The price is still trading above the broken bearish channel and the 1.2615 support region. If the bears snap that base, which overlaps [..]

Technical Analysis – GBPUSD shows bullish attitude

Posted on August 22, 2023 at 7:10 am GMT

GBPUSD has been gradually rising since posting a double bounce near the 1.2615 area, exiting the one-month-old bearish channel recently. The pair opened above the constraining 20-day simple moving average (SMA) on Tuesday and is currently trying to extend its upleg above the 50-day SMA at 1.2790. This area provided strong resistance earlier this month, while the broken support trendline from October 2022 could add another potential threat within a short distance. Note that the 23.6% Fibonacci retracement of the [..]

Technical Analysis – GBPUSD remains directionless below 50-day SMA

Posted on August 18, 2023 at 1:42 pm GMT

GBPUSD had been in a prolonged uptrend since October 2022, storming to a fresh 15-month high of 1.3141 on July 14. Since then, the pair has been experiencing a downside correction, which seems to be running out of steam as the price remains stuck in a rangebound pattern for the past two weeks. The short-term oscillators currently reflect a divergence. Specifically, the RSI is ticking down below its 50-neutral mark, while the stochastic oscillator is ascending after bouncing off the 20-oversold zone. [..]

Week Ahead – All eyes on the Jackson Hole symposium

Posted on August 18, 2023 at 9:50 am GMT

It’s a light week in terms of economic data, with the most important releases being the business surveys from the major economies. But the true highlight will be the Fed’s annual economic symposium. With US yields on the verge of a breakout, Chairman Powell’s signals about the path of interest rates will be absolutely crucial for the dollar. Will Powell tread lightly? Once per year, FOMC officials gather at their summer retreat in Jackson Hole, Wyoming for a symposium to [..]

Market Comment – Global stock rout deepens amid China gloom, jump in yields

Posted on August 18, 2023 at 9:33 am GMT

Stocks extend slump as China fears intensify, yields scale fresh highs Dollar on a winning streak as Wall Street heads for third weekly loss Markets eye more China rate cuts and Jackson Hole for Fed clues More pain for risk assets The rout in global stock markets shows no signs of ending on Friday even as the surge in bond yields has eased off a little. It’s been a torrid week for equities, which have been hammered by a tale [..]

Market Comment – China worries and rising yields dampen the mood

Posted on August 16, 2023 at 9:09 am GMT

Markets in volatile mood as China, yields, and liquidity worries combine Dollar bounces back after stellar US retail sales, gold drifts lower British pound gains after hot inflation report, FOMC minutes eyed Stocks slide as China concerns strike back A tense atmosphere has engulfed global markets as a combination of concerns around the Chinese economy, soaring bond yields, and poor liquidity conditions have joined forces to dampen the mood. Incoming data continues to paint a picture of a Chinese economy [..]

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