GBP/USD Makes Big Move Relative to Past Three Months, Down 435 Pips; in a Downtrend Over Past 14 Days

GBP/USD Price Recap

GBP/USD is down 435 pips (3.61%) since yesterday (with its current price near 1.16161), marking the 7th day in a row a decline has happened. The price move occurred on volume — and we’re using the number of tick price changes as a proxy for volume — that was down 19.25% from the day prior, but up 2.49% from the same day the week before. Relative to other instruments in the Forex asset class, GBP/USD ranked 39th yesterday in terms of percentage price change. The price chart of GBP/USD below illustrates.

GBP/USD Technical Analysis

As for the alignment of the moving averages, well, it’s a bit mixed up; the 20, 50, 100, and 200 do not progress from largest to smallest, or vice versa. The closest is the 200 day average, which is 1074 pips away. Trend traders will want to observe that the strongest trend appears on the 14 day horizon; over that time period, price has been moving down. Or to simplify this another way, note that out of the past 10 days GBP/USD’s price has gone down 7 them.

The View From Around the Web

We’re seeing some traders come out with interesting conviction on GBPUSD, with 10 buy signals on our radar and 8 sell signals. This imputes a buy/sell ratio of 1.25, which is bullish. As for the rationale, technical traders seem to be citing the appearance of a triangle technical pattern. Here’s a piece we found on tradingview.com; below is a short snippet from it to give you a taste.

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