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
    1.3778+0.007+0.51%
    USDSGD=X
    1.5097+0.0045+0.30%
    EURSGD=X
    2.1480+0.0056+0.26%
    GBPSGD=X
    89.9270-0.4473-0.49%
    SGDJPY=X
    5.6273-0.0277-0.49%
    SGDHKD=X
    2.7978+0.009+0.32%
    SGDMYR=X
    9,772.5439-83.0293-0.84%
    SGDIDR=X
    4.5059-0.024-0.53%
    SGDCNY=X
    1.0010-0.0013-0.13%
    AUDSGD=X
  • Commodities
    Commodities
    NamePriceChange% Chg
    1,090.90-4.00-0.37%
    GCQ15.CMX
    14.56-0.23-1.53%
    SIZ15.CMX
    45.98-1.59-3.33%
    ^XAU
    2.35-0.02-0.76%
    HGU15.CMX
    45.53-2.00-4.21%
    CLV15.NYM
  • Bonds
    Bonds
    TreasuryYield (%)Yield Change
    1.50-0.04
    ^FVX
    2.14-0.06
    ^TNX
    2.85-0.08
    ^TYX

MARKET MOVERS

  • Most Actives
    Most Actives
    NamePriceChange% Chg
    0.47+0.01+3.30%
    N21.SI
    2.20-0.10-4.35%
    MC0.SI
    0.310.00-1.59%
    E5H.SI
    0.310.00-1.59%
    5WA.SI
    0.123-0.011-8.21%
    5DN.SI
  • % Gainers
    % Gainers
    NamePriceChange% Chg
    0.46+0.07+17.95%
    AZZ.SI
    0.27+0.04+17.39%
    5WR.SI
    0.199+0.029+17.06%
    D79.SI
    1.25+0.16+14.68%
    AXL.SI
    0.565+0.070+14.14%
    AWZ.SI
  • % Losers
    % Losers
    NamePriceChange% Chg
    0.075-0.250-76.92%
    5I3.SI
    0.098-0.071-42.01%
    5MC.SI
    0.255-0.065-20.31%
    BAA.SI
    0.445-0.105-19.09%
    BBQ.SI
    0.094-0.019-16.81%
    5I0.SI