All Articles Tagged - GBPUSD

Technical Analysis – GBPUSD exhibits weak momentum; may retest upper boundary

Posted on March 29, 2023 at 12:55 pm GMT

GBPUSD successfully closed above the 1.2270 level on Tuesday after several failed attempts. The short-term bias remains optimistic from a technical standpoint, as the stochastic and MACD are clearly oscillating near the bullish region. The former is trying to enter the overbought region, indicating more positive actions. If the bulls are able to remain above 1.2270, the next obstacle may be located near 1.2450. A further increase may encounter congestion at 1.2550 before accelerating to 1.2665-1.2700. The area around 1.2800 [..]

Daily Market Comment – Weaker yen gives dollar a lift as stocks climb on easing banking fears

Posted on March 29, 2023 at 9:03 am GMT

Stocks extend gains as banking turmoil continues to subside Dollar catches up with firmer Treasury yields, yen tumbles Oil rises to 2-week high on improving tone and on Iraq supply concerns Stocks resume rebound after Wall Street stumbles Global equity markets got off to a positive start on Wednesday, resuming a patchy rebound from the lows of the banking turmoil that has so far been less than convincing. Stocks on Wall Street ended lower on Tuesday despite more calm being [..]

Daily Market Comment – Equities extend cautious rebound, dollar slips as bank stocks rally

Posted on March 28, 2023 at 9:06 am GMT

Banking turmoil subsides further, sparking rotation away from tech into financials Deutsche Bank joins in the rally as officials play down concerns Dollar stays pressured as Fed rate cut bets remain in play, US data eyed Banking jitters ease again as mood improves Fears about a deeper banking crisis receded further on Tuesday, giving risky assets another leg up as beaten down bank stocks attempted a rebound. Concerted efforts by the US Treasury and Federal Reserve to prop up the [..]

Technical Analysis – GBPUSD aims for a bullish breakout

Posted on March 28, 2023 at 7:40 am GMT

GBPUSD was stubbornly pushing for a close above the 1.2280 bar during Tuesday’s early European trading hours despite six consecutive failed attempts. From a technical perspective, the short-term bias remains skewed to the upside as the RSI and the MACD are clearly fluctuating within the bullish area. Yet, the former is maintaining a sideways trajectory, suggesting that some caution is warranted. If the bulls successfully climb above the 1.2280 wall, which coincides with the 50% Fibonacci retracement of the 2021-2022 downtrend, the next barrier might [..]

Daily Market Comment – Dollar slides as Fed hints at pause; BoE up next

Posted on March 23, 2023 at 9:18 am GMT

Fed hikes by 25bps, opens the door to a pause Dollar slides across the board Wall Street falls on Powell and Yellen remarks SNB delivers double hike, BoE to proceed with 25bps Dollar tumbles as Fed hints hikes are nearing end The dollar traded lower yesterday and continued falling today as, despite delivering another 25bps hike, the Fed hinted that it is on the verge of pausing due to the recent turbulence in the banking sector. Instead of noting that [..]

Technical Analysis – GBPUSD shows mixed signals ahead of BoE

Posted on March 22, 2023 at 2:59 pm GMT

GBPUSD edged above the upper bound of the bearish channel that had been navigating the market since the end of January to counter another barrier around 1.2280. The momentum indicators are sending encouraging signals as the RSI is maintaining an upward trajectory comfortably above its 50 neutral mark and the MACD is gaining strength above its red signal line, increasing the odds for a bullish continuation after the channel breakout. Yet, the previous two candlesticks seem to have formed a [..]

Daily Market Comment – Fed set to raise rates, but will Powell signal a pause?

Posted on March 22, 2023 at 9:45 am GMT

With banking nerves calming down, Fed is set to raise interest rates today Market reaction will depend mostly on rate projections and Powell’s tone Sterling advances after hot inflation numbers telegraph BoE rate hike Critical Fed decision ahead One of the most important Fed decisions in recent history lies ahead. With the banking turmoil receding for now, traders have priced in an 85% probability for a quarter-point rate increase and a 15% chance for no action at all. If the [..]

BoE rate decision: One last hike before hitting pause? – Forex News Preview

Posted on March 21, 2023 at 1:44 pm GMT

The latest bank turmoil cast a dark cloud over the central bank community, forcing investors to downsize their rate projections just a week before the March policy announcements. In the UK, the Bank of England will probably deliver a softer quarter percentage point rate hike on Thursday at 12:00 GMT, and while that could theoretically help the British pound to recoup some lost ground, a potential pause to the hiking cycle could easily put a break on any sterling rallies. Investors [..]

Technical Analysis – GBPUSD retests 1.2270 but outlook still neutral

Posted on March 21, 2023 at 7:59 am GMT

GBPUSD is struggling to surpass the 1.2270 resistance level but successfully jumped above the short-term simple moving averages (SMAs), which are hovering in the middle of the medium-term trading range of 1.1800-1.2450. Short-term momentum indicators are also pointing to a continuation of the neutral-to-negative bias. The stochastic is well above the overbought level but is flattening, suggesting some losses, while the RSI is moving slightly lower in the bullish region. Should prices reverse lower, immediate support could come from the [..]

Week Ahead – Fed decision to fuel volatility in nervous market

Posted on March 17, 2023 at 11:51 am GMT

With cracks appearing in the US banking system, markets think there’s a chance the Fed won’t raise rates next week. But considering that the Fed has already taken measures to ease financial stress and that inflation is still raging, the most likely outcome is a rate increase accompanied by high rate projections, which could boost the dollar. The Bank of England and the Swiss National Bank meet as well. Fed dilemma It’s going to be a difficult meeting for Fed [..]

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