GBP/USD: BoE set to keep policy unchanged
Pound underperforms, retail bias shifts yet again.
![GBP](http://a.c-dn.net/c/content/dam/publicsites/igcom/uk/images/news-article-image-folder/bg one pound coin gbp sterling.jpg/jcr:content/renditions/original-size.webp)
GBP/USD Technical analysis, overview, strategies, and levels
Negative technical bias has been forming in this pair's price as well, with GBP/USD crossing below the last of its main moving averages (MA) yesterday, the 50-day MA. The UK and US launched trade talks amidst what has been worsening economic data with construction PMI (Purchasing Managers’ Index) registering a far worse than expected sub-50 reading of just 8.2, as well as worsening coronavirus figures as the UK overtook Italy as Europe's highest number of official coronavirus deaths. But the focus for today is on the Bank of England's monetary policy announcement, making technicals far less relevant in the face of the fundamental event. Expectations are for monetary policy to remain on hold, but where investors and traders will be tuning into the central bank's projections for inflation and growth.
![GBPUSD TA](http://a.c-dn.net/c/content/dam/publicsites/igcom/Dubai/images/Monte/2020/05/07/GBPUSD_MAY7.JPG/jcr:content/renditions/original-size.webp)
IG client* and CoT sentiment for GBP/USD
Going into today's event retail traders are holding a majority long bias, having shifted from a majority short 52% yesterday morning.
![GBPUSD sentiment](http://a.c-dn.net/c/content/dam/publicsites/igcom/Dubai/images/Monte/2020/05/07/GBPUSD_S_MAY7.JPG/jcr:content/renditions/original-size.webp)
GBP/USD Chart with retail and institutional sentiment
![GBPUSD chart](http://a.c-dn.net/c/content/dam/publicsites/igcom/Dubai/images/Monte/2020/05/07/GBPUSD_C_MAY7.JPG/jcr:content/renditions/original-size.webp)
*The percentage of IG client accounts with positions in this market that are currently long or short. Calculated to the nearest 1%, as of today morning 8am.
Be sure to request IG’s Weekly & Daily Market Report when you open an account with IG Dubai and get access to the full information on the FX majors, commodities, indices, and Bitcoin.
This information has been prepared by IG, a trading name of IG Limited. In addition to the disclaimer below, the material on this page does not contain a record of our trading prices, or an offer of, or solicitation for, a transaction in any financial instrument. IG accepts no responsibility for any use that may be made of these comments and for any consequences that result. No representation or warranty is given as to the accuracy or completeness of this information. Consequently any person acting on it does so entirely at their own risk. Any research provided does not have regard to the specific investment objectives, financial situation and needs of any specific person who may receive it. It has not been prepared in accordance with legal requirements designed to promote the independence of investment research and as such is considered to be a marketing communication. Although we are not specifically constrained from dealing ahead of our recommendations we do not seek to take advantage of them before they are provided to our clients.
CFDs are a leveraged products. CFD trading may not be suitable for everyone and can result in losses that exceed your initial deposit, so please ensure that you fully understand the risks involved.
![](http://a.c-dn.net/c/content/dam/publicsites/igcom/uk/images/Rebrand/Article_banners/Forex-global-component-banner.jpg/jcr:content/renditions/original-size.webp)
Start trading forex today
Find opportunity on the world’s most-traded – and most-volatile – financial market
- Trade spreads from just 0.6 points on EUR/USD
- Analyse with clear, fast charts
- Speculate wherever you are with our intuitive mobile apps
See an FX opportunity?
Try a risk-free trade in your demo account, and see whether you’re onto something.
- Log in to your demo
- Try a risk-free trade
- See whether your hunch pays off
See an FX opportunity?
Don’t miss your chance – upgrade to a live account to take advantage.
- Get spreads from just 0.6 points on popular pairs
- Analyse and deal seamlessly on fast, intuitive charts
- See and react to breaking news in-platform
See an FX opportunity?
Don’t miss your chance. Log in to take your position.
Live prices on most popular markets
- Forex
- Shares
- Indices
Prices above are subject to our website terms and agreements. Prices are indicative only. All shares prices are delayed by at least 15 mins.