GBPUSD | Perspective for the new week | Follow-up
The pound Sterling experienced a turbulent week as it traded within a narrow range. However, a recovery in broad-market sentiment occurred after the release of a disappointing US Nonfarm Payrolls (NFP) report. This report sparked investor risk appetite, particularly heading into the weekend.
The US NFP figures fell short of expectations, revealing the worst headline figure in nearly three years. In October, the US added 150K new jobs, which was below the market forecast of 180K and significantly lower than September's figure of 297K. September's figure was also revised downwards from the initial print of 336K.
This underwhelming performance in US job growth has led to a decline in the US Dollar across the broader market. Surprisingly, investors are now favoring risk assets over safe havens despite the negative US labor data. The softening of US data is likely to give the Federal Reserve reason to pause on interest rate decisions. Investors are eagerly looking for signs that the Fed will accelerate the schedule for future rate cuts.
As a result of this data, investors are now pricing in a 95% chance that the US central bank will keep interest rates unchanged in December, compared to the previous estimate of 80%. This shift in expectations may lead to increased volatility for the pound Sterling, especially considering that the UK GDP data is scheduled for release next Friday.
GBPUSD Technical Analysis:
Will the pound find a reversal set-up in the near future as the price breaks the $1.23300 zone? The stakes are high, and we're on the edge of our seats!
The spotlight is on high-impact economic events from both the US dockets for clues. Brace yourselves as the anticipation and the actual events may trigger sharp price movements that could present incredible trading opportunities.
In this video, we've analyzed the Daily and 4-hour timeframes, exploring bullish and bearish sentiments to uncover the most promising trades for the week ahead. We've delved into key levels, trendlines, and support/resistance points, unveiling essential insights into the current market structure.
We are keeping a close eye on the potential range between $1.23900 and $1.23300 where a consolidation could happen before the next BIG move. It's a decisive structure where both sellers and buyers will be vying ti control, and how the market reacts here will set the course for GBPUSD in the upcoming days.
Stay connected and join the conversation in the comment section to stay updated on the latest developments. Thank you for tuning in, and get ready for more enlightening insights into GBPUSD in our upcoming content. Buckle up for a thrilling journey ahead! Happy trading!
Disclaimer:
Trading on margin in the foreign exchange market (including commodities, CFDs, stocks, etc.) carries a high level of risk and may not be suitable for all investors. The content of this speculation (including all data) is provided by me for educational and informational purposes only to assist in making independent investment decisions. All information presented here is for reference purposes only, and I do not accept any responsibility for its accuracy.
It is important that you carefully consider your investment experience, financial situation, investment objectives, and risk tolerance level, and seek advice from an independent financial advisor to assess the suitability of your situation before making any investment.
I do not guarantee the accuracy of the information provided and shall not be held liable for any loss or damage that may arise directly or indirectly from the content or the receipt of any instructions or notifications related to it.
Please note that past performance is not necessarily indicative of future results
The US NFP figures fell short of expectations, revealing the worst headline figure in nearly three years. In October, the US added 150K new jobs, which was below the market forecast of 180K and significantly lower than September's figure of 297K. September's figure was also revised downwards from the initial print of 336K.
This underwhelming performance in US job growth has led to a decline in the US Dollar across the broader market. Surprisingly, investors are now favoring risk assets over safe havens despite the negative US labor data. The softening of US data is likely to give the Federal Reserve reason to pause on interest rate decisions. Investors are eagerly looking for signs that the Fed will accelerate the schedule for future rate cuts.
As a result of this data, investors are now pricing in a 95% chance that the US central bank will keep interest rates unchanged in December, compared to the previous estimate of 80%. This shift in expectations may lead to increased volatility for the pound Sterling, especially considering that the UK GDP data is scheduled for release next Friday.
GBPUSD Technical Analysis:
Will the pound find a reversal set-up in the near future as the price breaks the $1.23300 zone? The stakes are high, and we're on the edge of our seats!
The spotlight is on high-impact economic events from both the US dockets for clues. Brace yourselves as the anticipation and the actual events may trigger sharp price movements that could present incredible trading opportunities.
In this video, we've analyzed the Daily and 4-hour timeframes, exploring bullish and bearish sentiments to uncover the most promising trades for the week ahead. We've delved into key levels, trendlines, and support/resistance points, unveiling essential insights into the current market structure.
We are keeping a close eye on the potential range between $1.23900 and $1.23300 where a consolidation could happen before the next BIG move. It's a decisive structure where both sellers and buyers will be vying ti control, and how the market reacts here will set the course for GBPUSD in the upcoming days.
Stay connected and join the conversation in the comment section to stay updated on the latest developments. Thank you for tuning in, and get ready for more enlightening insights into GBPUSD in our upcoming content. Buckle up for a thrilling journey ahead! Happy trading!
Disclaimer:
Trading on margin in the foreign exchange market (including commodities, CFDs, stocks, etc.) carries a high level of risk and may not be suitable for all investors. The content of this speculation (including all data) is provided by me for educational and informational purposes only to assist in making independent investment decisions. All information presented here is for reference purposes only, and I do not accept any responsibility for its accuracy.
It is important that you carefully consider your investment experience, financial situation, investment objectives, and risk tolerance level, and seek advice from an independent financial advisor to assess the suitability of your situation before making any investment.
I do not guarantee the accuracy of the information provided and shall not be held liable for any loss or damage that may arise directly or indirectly from the content or the receipt of any instructions or notifications related to it.
Please note that past performance is not necessarily indicative of future results
Trade active:
As highlighted in our earlier live session today, a buy position was triggered upon the break of the resistance level at 1.23900. As of now, the position is running with a gain of 32 pips. It is crucial to protect this position while keeping a vigilant eye out for new trading opportunities. 📈💼 #TradingAlerts #StayVigilant #MarketUpdates
Trade active:
UPDATE
Trade closed manually:
UPDATE
Buy positions closed as selling pressure resumes. The newly identified ascending trendline will become a yardstick to guide trading activities today. We remain bullish unless the trendline and the 1.23650 level is broken to the downside.
Buy positions closed as selling pressure resumes. The newly identified ascending trendline will become a yardstick to guide trading activities today. We remain bullish unless the trendline and the 1.23650 level is broken to the downside.
Trade active:
The Pound Sterling is under pressure due to the Bank of England's pessimistic forecast, warning of a potential recession for the UK economy next year.
The currency pair shifted course and declined after hitting a near two-month high of 1.24250 yesterday, as the US dollar rebounded and gained positive momentum. With a 50-pip profit from the sell position, it is prudent to protect the position while we observe price movements to gauge the extent of this bearish trend.
Good Morning
The currency pair shifted course and declined after hitting a near two-month high of 1.24250 yesterday, as the US dollar rebounded and gained positive momentum. With a 50-pip profit from the sell position, it is prudent to protect the position while we observe price movements to gauge the extent of this bearish trend.
Good Morning
Trade active:
UPDATE
Protect sell positions
Protect sell positions
Trade active:
#GBPUSD
The bearish momentum continues, resulting in over 100 pips of profit from three sell positions. The Pound Sterling is currently experiencing renewed bearish pressure, dropping below the 1.2300 zone during the Asian session as the US Dollar upswing regains momentum.
Market participants appear hesitant to place aggressive bets and are choosing to remain on the sidelines ahead of scheduled speeches by Bank of England (BoE) Governor Andrew Bailey and Federal Reserve (Fed) Chair Jerome Powell. Given the high risk of the UK economy entering a recession, Bailey's remarks will be closely monitored to reaffirm bets for a rate cut in August 2024.
Therefore, it is advisable to protect the current sell positions while keeping an eye out for new signals as the descending trendline remains our guiding light for today's trading activities.
Good Morning
The bearish momentum continues, resulting in over 100 pips of profit from three sell positions. The Pound Sterling is currently experiencing renewed bearish pressure, dropping below the 1.2300 zone during the Asian session as the US Dollar upswing regains momentum.
Market participants appear hesitant to place aggressive bets and are choosing to remain on the sidelines ahead of scheduled speeches by Bank of England (BoE) Governor Andrew Bailey and Federal Reserve (Fed) Chair Jerome Powell. Given the high risk of the UK economy entering a recession, Bailey's remarks will be closely monitored to reaffirm bets for a rate cut in August 2024.
Therefore, it is advisable to protect the current sell positions while keeping an eye out for new signals as the descending trendline remains our guiding light for today's trading activities.
Good Morning
Trade closed manually:
The sell position has been closed with a modest profit, and trading activities have remained range-bound, with the price confined within the 1.22750 and 1.23000 zone, signaling uncertainty in the market over the last 18 hours.
While a subdued US Dollar and sluggish US Treasury bond yields are bolstering the Pound Sterling, a cautious risk tone is limiting the upside, especially with Powell's speech in focus. Market participants are eagerly awaiting Powell's comments for hints about future monetary policy, which will significantly impact near-term USD price dynamics and provide momentum to the GBPUSD pair in the absence of relevant UK data. The breakout direction from this range will offer valuable insight into potential price action for the latter part of the week.
Good Morning
While a subdued US Dollar and sluggish US Treasury bond yields are bolstering the Pound Sterling, a cautious risk tone is limiting the upside, especially with Powell's speech in focus. Market participants are eagerly awaiting Powell's comments for hints about future monetary policy, which will significantly impact near-term USD price dynamics and provide momentum to the GBPUSD pair in the absence of relevant UK data. The breakout direction from this range will offer valuable insight into potential price action for the latter part of the week.
Good Morning
Comment:
Today, the United Kingdom is set to unveil its Q3 Gross Domestic Product (GDP). In anticipation of this announcement, the Pound Sterling is experiencing downward pressure against the US Dollar. If the outcome aligns with market expectations, it is likely to reinforce the Bank of England's decision to maintain the current interest rate.
Currently, the sell positions remain active as price action evolves into a bearish consolidation phase, resulting in oscillations within a narrow range between the 1.2230 and 1.22120 zone during the Asian session.
It is crucial to protect sell positions while keeping an eye on the descending trendline, which serves as our guiding light ahead of the GDP release.
Good Morning
Currently, the sell positions remain active as price action evolves into a bearish consolidation phase, resulting in oscillations within a narrow range between the 1.2230 and 1.22120 zone during the Asian session.
It is crucial to protect sell positions while keeping an eye on the descending trendline, which serves as our guiding light ahead of the GDP release.
Good Morning
Trade smart. Trade consciously
Currently, the price action is confined within a narrow range below our resistance level around the 1.23900 area. This indicates a state of indecision among market participants, as they carefully assess their options, which include either a retracement of the previous impulsive move or initiating buy positions. The direction in which this range is ultimately broken will play a significant role in guiding our decisions for today.
Good Morning