GBPUSD Forecast and Live Chart

The Great British Pound/United States Dollar currency pair (also referred to as GBPUSD and GBP/USD) is one of the most actively traded major pairs in the world. In this article, we will examine how GBPUSD is performing.

Key Stats

2021 high: 1.4250
2021 low: 1.3160
YTD high: 1.3749
YTD low: 1.1760
YTD % change: -10.83%

GBPUSD Forecast

With the GBP at lows, it’s hard to forecast further downside for the pair. Even so, we believe lower is the best option in the medium-term. While the recent run higher in stocks may give near-term confidence to GBPUSD bulls, until the current uncertain macroeconomic climate begins to ease, our preferred direction is to the downside for the GBPUSD, targeting the 1.1930 area. However, the current market environment is uncertain, and it is essential to have a flexible view when trading the pair.

GBPUSD Fundamental Analysis

The GBP is one of the largest traded global currencies and one of the major currencies. Several factors dictate the price movements of the pound, including Brexit and, more recently, Covid-19 restrictions. Previously, Brexit and a trade deal between the UK and EU resulted in significant price moves for the GBP, depending on whether the deal and components within the agreement were viewed as positive or negative. In addition, Covid restrictions had an adverse effect on the UK economy and other economies around the world. While Covid restrictions are long gone, and a trade deal with the EU is now in place, there are still arguments between the UK and EU over one part of the deal. This has impacted the GBP. As a result, uncertainties about the UK economy and the recent flight to the safe haven of the USD have seen the GBP tumble against the dollar.

On the other hand, the USD has strengthened significantly in 2022. This is because its safe haven status has made it the go-to currency during times of economic instability. In addition, this is due to the strength of the USA’s economy and the fact the USD is the reserve currency for international trade. As a result, it has earned the title of “King Dollar.”

There are several key economic data releases each month in the US. These include payroll data, GDP, retail sales, non-farm payrolls, and much more. These releases give central bankers, the government, traders, investors, economists, and others an idea of the current health of the US economy and, as a result, can cause significant price swings in the USD, depending on their importance at the time. For example, inflation is a crucial data point to watch at the moment after surging in 2022. The US dollar’s safe haven status, global economic uncertainty, and the Fed raising rates have resulted in a major bull run for the USD.

GBPUSD Technical Analysis

As mentioned, the GBPUSD is in a downtrend following several fundamental and macroeconomic issues impacting risk sentiment and the pound. When looking at technicals on the GBPUSD, we can plot a trendline on the daily chart that the price has so far adhered to. In addition, it is still below its 100 MA. Given the recent rally in stocks and risk assets, a potential move back to the trendline and 1.2250 is possible in the near term. However, we would expect a rejection of that level and the downtrend to continue. The most obvious target would be 1.1931.

Trade GBPUSD with our top brokers

Broker	Features	Regulator	Platforms	Next Step
Your capital is at risk Founded: 2014	Leverage Up To 500:1 $200 Min Deposit 60+ Tradeable Instruments Read BlackBull Markets Review	FSPR	MT4	Sign Up OPEN FREE DEMO ACCOUNT Read BlackBull Markets Review
75 % of retail CFD accounts lose money Founded: 2014 75 % of retail ...	Ultra-fast execution from 0.1s Low spreads from 0.0 pips All trading strategies allowed Read Tickmill Review	FSA SC	MetaTrader 4, Web Trader	Sign Up TEST TICKMILL Read Tickmill Review
Your capital is at risk Founded: 2006 Europe* CFDs ar...	40% New Member Bonus Regulatory licenses across 5 continents 24/7 trading Read AvaTrade Review	ASIC, FSA, FSB, MiFID	MetaTrader4, Sirix, AvaOptions, AvaTrader, Mirror Trader	Sign Up OPEN FREE DEMO ACCOUNT Read AvaTrade Review
72 % of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you can afford to take the high risk of losing your money. Founded: 2008 72 % of retail ...	Multi Asset Trading Platform Zero Commissions Amazing Trading Apps Read Plus500 Review	ASIC, CySEC, FCA	Plus500	Sign Up OPEN FREE DEMO ACCOUNT Read Plus500 Review
Your capital is at risk Founded: 2020	Impressive range of trading platforms Tight spreads and low commissions Excellent customer services STP and ECN trade execution Read Moneta Markets Review	-	Pro Trader, MT4, MT5	Sign Up OPEN FREE DEMO ACCOUNT Read Moneta Markets Review
Your capital is at risk Founded: 2009	Leverage up to 500:1 $200 Min Deposit Spreads from 0.0 Read Vantage Review	CIMA	MetaTrader 4, MetaTrader 5, WebTrader	Sign Up OPEN FREE DEMO ACCOUNT Read Vantage Review
Your capital is at risk Founded: 2012	Meta Trader 5 Trading platform Exclusive professional trading tools Dedicated support staff during all trading hours Read LegacyFX Review	BaFin, CySEC, FCA, NBRB, VFSC	MetaTrader 5	Sign Up OPEN FREE DEMO ACCOUNT Read LegacyFX Review
Between 74-89% of CFD traders lose Founded: 2010 Between 74-89 % of retail investor accounts lose money when trading CFDs	Four user-friendly trading platforms Consistently rater No1 for Trader Support Set up by traders, for traders Read Pepperstone Review	ASIC, FCA	MetaTrader 4, MetaTrader 5, cTrader	Sign Up OPEN FREE DEMO ACCOUNT Read Pepperstone Review
Your capital is at risk Founded:	Crypto deposits possible Bonus offers Leverage up to 1:500 MT4 and Allpips platforms Read ADROFX Review	FSA, VFSC	MetaTrader 4, Web Trader, Social Trading Allpips, Web Platform Allpips	Sign Up OPEN FREE DEMO ACCOUNT Read ADROFX Review
Your capital is at risk Founded: 2000	Good range of assets, such as CFDs Fully regulated brokerage Multi-lingual reporting Read Swiss Quote Review	DFSA, FCA, FINMA, MFSA, only EU traders), SFC FCA (Swissquote LTD	MT4, MT5, AdvancedTrader	Read Swiss Quote Review
Your capital is at risk Founded: 2013	Over 200 Tradeable Accounts $50 no deposit bonus Trading Central Insight Portal Read Trade360 Review	CySEC	CrowdTrading	Sign Up OPEN FREE DEMO ACCOUNT Read Trade360 Review
77% of retail CFD accounts lose money Founded: 1996	No Minimum Deposit Over 100 instruments Web, desktop, mobile platform and MT4 Read Oanda Review	ASIC, FCA, IIROC, MAS	fxTrade, MT4	Read Oanda Review
Your capital is at risk Founded: 2016	Read VT Markets Review	ASIC, CIMA	MT4	Sign Up OPEN FREE DEMO ACCOUNT Read VT Markets Review
Your capital is at risk Founded: 2015	$50 Min Deposit Flexible Leverage Low Min Order Values Read Tigerwit Review	FCA, SCB	MT4	Sign Up OPEN FREE DEMO ACCOUNT Read Tigerwit Review
Your capital is at risk Founded: 1991 73.05% of investors lose money when trading CFDs with FXCM	Enhanced Execution and pricing. Award-winning trading platform Free Access to Exclusive Trading Tools Read FXCM Review	-	FXCM Trading Station (Web, Desktop, Mobile), FXCM MetaTrader 4, NinjaTrader	Sign Up OPEN FREE DEMO ACCOUNT Read FXCM Review
75% of clients lose money. Capital at risk. Founded: 1983	Exceptional customer service Beginner-friendly Free Webinars Read City Index Review	ASIC, FCA, MAS	Advantage Web, AT Pro, MT4, WebTrader	Sign Up OPEN FREE DEMO ACCOUNT Read City Index Review
Your capital is at risk Founded: 2008	Instant automated withdrawals 24/7 Commission-free Standard accounts Some of the lowest spreads on the markets and stable execution Unlimited leverage Free VPS Hosting Read Exness Review	CySEC, FCA, FSA, FSCA	MT4, MT5, WebTerminal	Sign Up OPEN FREE DEMO ACCOUNT Read Exness Review
Your capital is at risk Founded: 2017	Read CCI Traders Review	FSC	XOH, MT5,	Sign Up OPEN FREE DEMO ACCOUNT Read CCI Traders Review
Your capital is at risk Founded: 2016	Read SquaredFinancial Review	CySEC		Sign Up OPEN FREE DEMO ACCOUNT Read SquaredFinancial Review
Your capital is at risk Founded: 2017	Lowest Commissions in Australia $4.50 per lot RT Read Fusion Markets Review	ASIC, VFSC	MT4	Sign Up OPEN FREE DEMO ACCOUNT Read Fusion Markets Review

Forextraders' Broker of the Month

ForexTime (FXTM) is an award-winning platform that certainly has the feeling of being set up by people who know what they are doing. The firm demonstrates an understanding of what helps traders make better returns, and its success can be measured by the fact that it's doubled the number of clients it supports in recent years. The fact that the broker has grown to have more than two million accounts suggests it is getting things right for clients.