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 moves back into swing area

forex

GBPUSD moves back into swing area

  • Swing area between 1.1865 to 1.1900
Greg Michalowski
Greg Michalowski
Tuesday, 15/11/2022 | 17:00 GMT-0
15/11/2022 | 17:00 GMT-0
Technical Analysis

GBPUSD moves into a swing area between 1.1759 to 1.1840 on weekly chart

GBPUSD

GBPUSD moves into a swing area between 1.1759 to 1.1840 on weekly chart

  • Getting to the 50% midpoint of 2022 range is in view at 1.2050 area.
Greg Michalowski
Greg Michalowski
Friday, 11/11/2022 | 17:54 GMT-0
11/11/2022 | 17:54 GMT-0
Technical Analysis

GBPUSD trades to new highs and looks toward trend line and swing highs from last week

GBP

GBPUSD trades to new highs and looks toward trend line and swing highs from last week

  • Trend line at 1.1555. The swing area with highs from Oct 31, November 1, and November 2 come in between 1.1560 to 1.1566
Greg Michalowski
Greg Michalowski
Monday, 07/11/2022 | 19:54 GMT-0
07/11/2022 | 19:54 GMT-0
News

Stocks rotate lower on Powell prepared remarks.

Stocks rotate lower on Powell prepared remarks.

  • Nasdaq and S&P now lower
Greg Michalowski
Greg Michalowski
Wednesday, 02/11/2022 | 18:42 GMT-0
02/11/2022 | 18:42 GMT-0
Technical Analysis

GBPUSD tests the October high and backs off a little

GBPUSD

GBPUSD tests the October high and backs off a little

  • Tests swing levels from August and September
Greg Michalowski
Greg Michalowski
Tuesday, 25/10/2022 | 14:51 GMT-0
25/10/2022 | 14:51 GMT-0
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