- British Pound breaking key lows on strong FX trading volume
- Clear links between Sterling and UK Yields helps explain part of the move
- Sharp swings in forex trader sentiment warn of continued losses.
The British Pound looks at risk of continued weakness as three key factors favor GBPUSD declines.
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British Pound Breaks Key Support on Strong Volume, Points to Continuation Lower
Source: FXCM Trading Station Desktop, Prepared by David Rodriguez.
British Pound Yield Advantage Shrinks, Favors Dollar Strength
Data source: Bloomberg, Prepared by David Rodriguez
Retail Forex Traders Turn Net Long the British Pound
Source: FXCM Retail FX Positioning Data, Prepared by David Rodriguez.
Follow any updates on the British Pound, US Dollar, and other currencies via this author’s e-mail distribution list.
Forex Correlations Summary
View forex correlations to the S&P 500, S&P Volatility Index (VIX), Crude Oil Futures prices, US Treasury Yields, and Spot Gold prices.
Data source: Bloomberg. Chart source: R SEE GUIDE ON READING THE ABOVE CHART
--- Written by David Rodriguez, Quantitative Strategist for DailyFX.com David specializes in automated trading strategies. Find out more about our automated sentiment-based strategies on DailyFX PLUS.
Contact and follow David via Twitter: https://twitter.com/DRodriguezFX
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