GBP/USD (Pound Dollar) Explained

• GBP
• USD

What GBP/USD is

GBP/USD is the price of one British pound (GBP) in US dollars (USD). The pound is the base currency and the dollar is the quote currency. When the quote rises, one pound buys more dollars. When it falls, the pound has weakened against the dollar or the dollar has strengthened.

It is one of the major pairs, meaning pairs that include the US dollar and are traded in large volume. Traders often call it "Cable". For how majors differ from minors and exotics, see Majors, minors, exotics.

At Exness, GBPUSD is traded as a CFD (contract for difference). You do not receive pounds or dollars. You take a position on the price change, usually with leverage. Leveraged CFD trading can lose money fast, including the whole deposit.

How to read the quote

A platform shows two prices:

• Bid: the price at which you can sell.
• Ask: the price at which you can buy.
• Spread: the gap between them. This is a trading cost you pay on entry.

A pip is the standard unit of price change for the pair. In MetaTrader, the last digit of a GBPUSD quote is a fraction of a pip, called a pipette. Check the digits shown in the symbol specification in your platform.

Pip size and pip value per lot

A lot is a fixed contract size in units of the base currency. The minimum order size at Exness is 0.01 lot. Check the contract size for GBPUSD in the platform specification.

Because USD is the quote currency, the value of one pip for a given lot size is fixed in US dollars. It does not move with the exchange rate. If your account is in another currency, such as PKR, the platform converts that dollar value at the current rate.

Use the calculator to see the value of one pip for your lot size, in USD and in your account currency:

What tends to move the pound

• Bank of England (BoE) policy: interest rate decisions, the vote split and the wording of statements.
• UK CPI and wage data: inflation and pay growth shape expectations for BoE rates.
• Gilt yields: UK government bond yields reflect rate expectations and fiscal confidence.
• UK fiscal news: budgets and borrowing plans can affect gilts and the pound together.

What tends to move the US dollar

• Federal Reserve policy: rate decisions, press conferences and the dot plot, which shows officials' rate projections.
• US jobs data (NFP): the monthly non-farm payrolls report is a common source of sharp moves.
• US CPI: inflation data feeds Fed expectations.
• Treasury yields: changes in US bond yields often move the dollar against most currencies.
• Global risk appetite: in stress periods, demand for the dollar often rises.

Releases are listed in the economic calendar, which Exness provides on the website and in the Exness Trade app. GBPUSD analysis usually combines these drivers with chart work. See Fundamental analysis and Technical analysis. This page gives no price levels or trade ideas.

Liquidity by session and spread behaviour

• Asian session: lower activity in GBP/USD. Spreads can be wider and moves smaller.
• London session: liquidity rises sharply, because the UK is the pound's home market.
• London and New York overlap: usually the most active part of the day for this pair.
• Late US and rollover: liquidity thins and spreads often widen around the daily rollover.

Spreads also widen around high-impact releases such as BoE decisions, UK CPI, NFP and Fed meetings. Price can also jump past your stop level (slippage). See Risk management.

Exness conditions for GBPUSD

These are account-level conditions as Exness lists them at the time of writing. They are not a GBPUSD-specific specification. Check the GBPUSD specification in the platform and the current conditions in your Exness personal area.

Other conditions that apply:

• Maximum order size: 200 lots (7:00–20:59 GMT+0), 60 lots (21:00–6:59 GMT+0).
• Leverage: forex majors are among the instruments eligible for unlimited leverage. The conditions are on real accounts: equity below 5,000 USD and at least 10 closed orders totalling 5 lots or more across real accounts.
• News periods: orders opened from 15 minutes before to 90 seconds after high-impact news fall under higher margin requirements. For forex, that is 1:200 (0.5%).
• Stop out: 0% stop out not supported in some countries; may vary.
• Swaps: Exness lists Pakistan among countries where clients are assigned swap-free status automatically. Check your account's status in the personal area. See Swap fees and Islamic finance.

Margin is the amount your account sets aside to open a position. Higher leverage means less margin per position, but a smaller adverse move can then wipe out your funds. Use the calculator to see the margin required for your lot size and leverage:

Legal position in Pakistan

On payments, per the SBP, remitting foreign exchange to overseas forex/margin/CFD platforms is not allowed through any payment channel (FERA s.5(1)). Also, per the SBP, the purchase of offshore forex/margin/CFD products by Pakistani residents violates section 4(1) of FERA 1947. On protection, per the SECP, offshore platforms have no Pakistani licence or oversight and offer no legal protection or recourse.

Read Law and regulators before opening any account.

Frequent questions

Is GBP/USD the same as "pound dollar"?

Yes. Both names refer to the British pound priced in US dollars.

Why is the pip value fixed in dollars?

USD is the quote currency, so a pip change is always measured in dollars. Only the conversion into your account currency changes.

When is GBPUSD most active?

Usually during the London session and its overlap with New York. Activity is lower in the Asian session.

Do spreads on GBPUSD stay the same all day?

No. They often widen at rollover, in thin hours and around major news.

Can I practise on GBPUSD first?

Yes. Exness demo accounts start with 10,000 USD (virtual). See Demo account. The Standard Cent account has demo not available.

Where do I find the exact GBPUSD specification?

In the symbol specification in MetaTrader or the Exness terminal, and in your Exness personal area.