The GBPUSD is the abbreviation for the British pound and U.S. dollar currency pair popularly known as the cable. It is one of the oldest traded currency pairs used to tell how many U.S. dollars are needed to buy one British pound. It is a highly traded currency pair (4th on the forex markets) also viewed as one of the most liquid and cash rich pairs to be traded against the U.S. dollar. As a result of its high liquidity, the currency pair allows traders to take advantage of price movements and variations. The GBPUSD is affected by external factors that influence an individual currency value, hence fluctuates according to the degree of difference in interest rates set by the Bank of England and the Federal Reserve (Fed).