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Category: Forex Analysis

GBP/USD Breakdown: A Reversal Ready to Accelerate

Introduction Sterling’s recent upward correction has faded, and the underlying structure of GBP/USD has turned decisively bearish. Despite a short-lived bounce, the pair remains trapped beneath key resistance levels and deep inside a broader downtrend. Macro divergence between the UK and the United States continues to widen, while sentiment indicators strongly favour the dollar. With daily timeframe technicals now confirming renewed downside pressure, the pair is positioned for a continuation……
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Sterling Under Pressure: The Bearish Case for GBP/USD

Introduction GBP/USD remains structurally fragile as the United Kingdom continues to navigate a weak macroeconomic pulse and a persistent inflation overhang. While the Bank of England maintains a late-cycle restrictive stance, the broader economic backdrop is deteriorating, with subdued growth, weak sentiment and soft retail dynamics. Conversely, the US economy retains clear cyclical strength, underpinned by resilient labour markets and firm consumption. With monetary policy divergence still meaningful and the……
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Riding the Divergence: Why USD/JPY Still Has Room to Run

Introduction The USD/JPY cross remains one of the most compelling macro opportunities in the FX landscape. With the Federal Reserve holding policy in firmly restrictive territory and the Bank of Japan still anchored to ultra-easy conditions, the rate differential continues to drive structural demand for the US dollar. Japan’s economy struggles with weak growth, soft consumption and limited inflation pressure, while the US maintains a clear cyclical advantage. Despite recent……
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Long USD/JPY: Structural Divergence Driving Trend Continuation

Introduction USD/JPY is positioned at the intersection of one of the most powerful macro divergences in global FX. With the Federal Reserve anchored in a higher-for-longer posture, and the Bank of Japan maintaining ultra-loose settings, yield spreads remain decisively in favour of the dollar. The macro backdrop is supported by strong US data, resilient consumption and entrenched inflation pressures. Meanwhile, Japan continues to face weak growth, subdued price dynamics and……
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USD/CHF: Bullish Momentum Strengthens

Introduction The USD/CHF cross is entering a decisive bullish phase as macro resilience in the United States converges with Switzerland’s subdued inflation backdrop and accommodative policy stance. Market dynamics are increasingly favouring the dollar: stronger growth, firmer PMIs and stabilising inflation contrast sharply with Switzerland’s muted economic trajectory. Sentiment indicators show a modest shift toward USD strength, while technical conditions highlight a clean trend reversal above key Ichimoku levels. Together,……
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EUR/USD: Bearish Momentum Builds as Macro Divergence Deepens

Introduction EUR/USD continues to trade under sustained downside pressure, driven by persistent macro divergence between the Eurozone and the United States. Soft Eurozone growth, weakening sentiment indicators and subdued inflation keep the ECB firmly on a cautious path, while the U.S. economy maintains strong output, resilient labour markets and higher-for-longer rate expectations. With technicals reinforcing the bearish structure, the pair remains vulnerable to further downside as markets reward USD strength……
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USD/JPY: Yield Dominance Takes Control

Introduction USD/JPY continues to operate in a regime where yield spreads, policy divergence and macro outperformance shape the strategic landscape. The Federal Reserve’s restrictive stance contrasts sharply with the Bank of Japan’s ultra-accommodative framework, keeping rate differentials firmly USD-positive. With US data resilient, inflation sticky and labour markets holding steady, the greenback retains its leadership profile. On the technical front, the pair is trending decisively higher, supported by strong momentum……
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GBP/USD: A Clean Breakdown with More Downside Ahead

Introduction GBP/USD has rolled over into a well-defined bearish structure as weakening UK fundamentals collide with a strengthening US macro backdrop. The UK faces stagnant growth, sticky inflation, deteriorating confidence, and softening labour conditions — all while fiscal risks continue to rise. In contrast, the US economy remains resilient, supported by strong consumption, firm labour markets, and a higher-for-longer Federal Reserve stance. With risk sentiment favouring the dollar and technical……
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AUD/USD Slides as Policy Divergence Deepens

Introduction The Australian dollar remains under sustained pressure against the US dollar as weak domestic data contrasts sharply with resilient US growth and a still-restrictive Federal Reserve. The behaviour of the AUD/USD rate reflects this ongoing disparity. With global risk sentiment fragile and commodity demand softening, the AUD/USD pair continues to trade defensively below key resistance levels. Market dynamics point toward a continuation of the broader bearish trend as monetary……
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U.S. Dollar Holds Firm: USD/CAD Eyes Upside Continuation

Introduction USD/CAD continues to trade with a bullish undertone, supported by strong U.S. fundamentals and weakening Canadian macro data. While the Federal Reserve maintains a restrictive stance amid resilient growth, Canada faces slowing trade activity and softer domestic momentum. The result is a widening policy and growth divergence that favours sustained USD strength against the CAD. Fundamental Analysis The United States is experiencing solid GDP expansion and a robust labour……
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