Forex Analysis: British Pound Could Fall Further versus US Dollar

ssi_gbp-usd_body_Picture_6.png, Forex Analysis: British Pound Could Fall Further versus US Dollar

GBPUSD – Retail FX traders have recently gone short the US Dollar (ticker: USDOLLAR) against the British Pound (long GBPUSD), and a contrarian view of crowd sentiment warns that the GBPUSD may continue lower. The FXCM SSI ratio for the British Pound stands at 1.2; there are 1.2 traders long for every short.

Trade Implications – GBPUSD: We will need to see a larger shift towards crowd buying for our sentiment-based trading strategies to take a GBP short. Yet a break below the psychologically significant $1.6000 mark suggests that a move towards multi-month lows of $1.5825 is likely.

--- Written by David Rodriguez, Quantitative Strategist for DailyFX.com

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DailyFX provides forex news and technical analysis on the trends that influence the global currency markets.
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Market Data

  • Currencies
    Currencies
    NamePriceChange% Chg
    1.3773-0.0043-0.31%
    USDSGD=X
    1.5335-0.0051-0.33%
    EURSGD=X
    1.9953-0.0254-1.26%
    GBPSGD=X
    80.3738-0.0692-0.09%
    SGDJPY=X
    5.6421+0.0185+0.33%
    SGDHKD=X
    2.9864+0.0092+0.31%
    SGDMYR=X
    9,901.8711+34.6875+0.35%
    SGDIDR=X
    4.7809+0.0176+0.37%
    SGDCNY=X
    0.9952+0.0028+0.28%
    AUDSGD=X
  • Commodities
    Commodities
    NamePriceChange% Chg
    1,219.00+2.30+0.19%
    GCQ16.CMX
    15.99-0.27-1.68%
    SIN16.CMX
    81.99+2.58+3.25%
    ^XAU
    2.09-0.02-0.92%
    HGN16.CMX
    49.78+0.45+0.91%
    CLN16.NYM
  • Bonds
    Bonds
    TreasuryYield (%)Yield Change
    1.37-0.01
    ^FVX
    1.84-0.01
    ^TNX
    2.64-0.01
    ^TYX

MARKET MOVERS

  • Most Actives
    Most Actives
    NamePriceChange% Chg
    0.295+0.015+5.36%
    N21.SI
    1.81-0.01-0.28%
    MC0.SI
    6.04-0.01-0.17%
    H78.SI
    1.02+0.01+0.99%
    C22.SI
    0.55+0.02+3.77%
    5ME.SI
  • % Gainers
    % Gainers
    NamePriceChange% Chg
    0.55+0.10+22.22%
    BQP.SI
    0.165+0.015+10.00%
    K22.SI
    1.65+0.15+10.00%
    BAI.SI
    0.29+0.03+9.43%
    A30.SI
    0.39+0.03+8.33%
    CZ4.SI
  • % Losers
    % Losers
    NamePriceChange% Chg
    0.50-0.09-15.25%
    AYB.SI
    0.435-0.060-12.12%
    AYV.SI
    0.305-0.040-11.59%
    BBP.SI
    0.152-0.019-11.11%
    BEH.SI
    0.285-0.035-10.94%
    S19.SI