GBP/USD

The GBP/USD is the currency pair encompassing the United Kingdom’s currency, the British pound sterling (symbol £, code GBP), and the dollar of the United States of America (symbol $, code USD). The pair’s rate indicates how many US dollars are needed in order to purchase one British pound. For example, when the GBP/USD is trading at 1.5000, it means 1 pound is equivalent to 1.5 dollars. The GBP/USD is the fourth most traded currency pair on the forex exchange market, giving it ample liquidity and a low spread. Whilst the spreads of currency pairs vary from broker to broker, generally speaking, the GBP/USD often stays within the 1 pip to 3 pip spread range, making it a decent candidate for scalping. The GBP/USD pair, also informally known as “cable” (due to transatlantic cables being used to transmit its exchange rate via telegraph back in the 19th century) has a positive correlation with the EUR/USD, and a negative correlation with the USD/CHF. Trading the GBP/USDWhilst a lot of traders and even brokers will assert that the best time to trade the GBP/USD is during its most active hours during London and New York, doing so can be a double-edged sword due to the often-unpredictable nature of the pair. Its volatility also fluctuates often, and so what could be a profitable looking strategy one month, may not be so productive in later months. In addition, purely technical traders can really struggle to be consistent with this pair, (i.e. by ignoring fundamentals), due to the unique political nature of the United Kingdom. The recent drama surrounding Brexit has added another layer of uncertainty to this currency pair. With a smooth resolution not in the cards for the foreseeable future, it is clear the GBP/USD will be influenced by any developments and negotiations with the European Union.
The GBP/USD is the currency pair encompassing the United Kingdom’s currency, the British pound sterling (symbol £, code GBP), and the dollar of the United States of America (symbol $, code USD). The pair’s rate indicates how many US dollars are needed in order to purchase one British pound. For example, when the GBP/USD is trading at 1.5000, it means 1 pound is equivalent to 1.5 dollars. The GBP/USD is the fourth most traded currency pair on the forex exchange market, giving it ample liquidity and a low spread. Whilst the spreads of currency pairs vary from broker to broker, generally speaking, the GBP/USD often stays within the 1 pip to 3 pip spread range, making it a decent candidate for scalping. The GBP/USD pair, also informally known as “cable” (due to transatlantic cables being used to transmit its exchange rate via telegraph back in the 19th century) has a positive correlation with the EUR/USD, and a negative correlation with the USD/CHF. Trading the GBP/USDWhilst a lot of traders and even brokers will assert that the best time to trade the GBP/USD is during its most active hours during London and New York, doing so can be a double-edged sword due to the often-unpredictable nature of the pair. Its volatility also fluctuates often, and so what could be a profitable looking strategy one month, may not be so productive in later months. In addition, purely technical traders can really struggle to be consistent with this pair, (i.e. by ignoring fundamentals), due to the unique political nature of the United Kingdom. The recent drama surrounding Brexit has added another layer of uncertainty to this currency pair. With a smooth resolution not in the cards for the foreseeable future, it is clear the GBP/USD will be influenced by any developments and negotiations with the European Union.

The GBP/USD is the currency pair encompassing the United Kingdom’s currency, the British pound sterling (symbol £, code GBP), and the dollar of the United States of America (symbol $, code USD).

The pair’s rate indicates how many US dollars are needed in order to purchase one British pound. For example, when the GBP/USD is trading at 1.5000, it means 1 pound is equivalent to 1.5 dollars.

The GBP/USD is the fourth most traded currency pair on the forex exchange market, giving it ample liquidity and a low spread.

Whilst the spreads of currency pairs vary from broker to broker, generally speaking, the GBP/USD often stays within the 1 pip to 3 pip spread range, making it a decent candidate for scalping.

The GBP/USD pair, also informally known as “cable” (due to transatlantic cables being used to transmit its exchange rate via telegraph back in the 19th century) has a positive correlation with the EUR/USD, and a negative correlation with the USD/CHF.

Trading the GBP/USD

Whilst a lot of traders and even brokers will assert that the best time to trade the GBP/USD is during its most active hours during London and New York, doing so can be a double-edged sword due to the often-unpredictable nature of the pair.

Its volatility also fluctuates often, and so what could be a profitable looking strategy one month, may not be so productive in later months.

In addition, purely technical traders can really struggle to be consistent with this pair, (i.e. by ignoring fundamentals), due to the unique political nature of the United Kingdom.

The recent drama surrounding Brexit has added another layer of uncertainty to this currency pair.

With a smooth resolution not in the cards for the foreseeable future, it is clear the GBP/USD will be influenced by any developments and negotiations with the European Union.

Technical Analysis

GBPUSD races higher and away from hourly MAs as upside probing continues

GBPUSD

GBPUSD races higher and away from hourly MAs as upside probing continues

  • GBPUSD moves above recent ceiling area
Greg Michalowski
Greg Michalowski
Tuesday, 17/05/2022 | 12:57 GMT-0
17/05/2022 | 12:57 GMT-0
Technical Analysis

GBPUSD trades to a new session high

GBPUSD

GBPUSD trades to a new session high

  • GBPUSD looks toward the 200 hour MA
Greg Michalowski
Greg Michalowski
Monday, 16/05/2022 | 18:42 GMT-0
16/05/2022 | 18:42 GMT-0
Central Banks

BOE Bailey: Over 80% of UK inflation overshoot is due to energy/tradable goods

BOE Bailey: Over 80% of UK inflation overshoot is due to energy/tradable goods

  • Testimony before the UK treasury committee begins
Greg Michalowski
Greg Michalowski
Monday, 16/05/2022 | 14:20 GMT-0
16/05/2022 | 14:20 GMT-0
Central Banks

The Bank of England monetary report hearing commences at 10:15 AM ET

The Bank of England monetary report hearing commences at 10:15 AM ET

  • BOE Bailey and others scheduled to testify
Greg Michalowski
Greg Michalowski
Monday, 16/05/2022 | 13:57 GMT-0
16/05/2022 | 13:57 GMT-0
Technical Analysis

GBPUSD trying to extend above its 100 hour moving average

GBPUSD

GBPUSD trying to extend above its 100 hour moving average

  • Momentum is limited so far on breaks above 100 hour moving average
Greg Michalowski
Greg Michalowski
Monday, 16/05/2022 | 13:10 GMT-0
16/05/2022 | 13:10 GMT-0