Watch out for the incoming release of the European, UK and US Manufacturing and Services Purchasing Managers Index survey results throughout Tuesday. The data will be released from 08:15 up to 14:45 GMT.
On Thursday, the US Advance GDP data is set to reveal whether the United States are or are not experiencing a decline in the Gross Domestic Product at 13:30 GMT. The Advance GDP is the first data set that reveals how the economy has done in the last quarter.
The week will end with the publication of the US Core PCE Price Index. This index is the one being used by the US Federal Reserve to measure the impact of inflation on the consumers. It is seen by some as more important than the CPI. The release is scheduled for 13:30 GMT.
GBP/USD short-term view
In the case of a decline of the Pound against the US Dollar, the rate might find support in the 50-hour simple moving average near 1.2315 and the 1.2300 mark. Further below, note the combination of the weekly R1 simple pivot point at 1.2288 and the 100-hour simple moving average. Even farther below, the 200-hour SMA might strengthen the 1.2250 mark.However, a resumption of the move up by the GBP/USD is expected to face resistance in the 1.2350 level, the weekly R2 simple pivot point at 1.2353 and the 1.2400 mark, before testing the December high level zone at 1.2435/1.2450.
Hourly Chart
GBP/USD daily chart's review
On the daily candle chart, the pair trades between a resistance zone at 1.2305/1.2455 and support zone at 1.1740/1.1840. Most recently, the surge began to once again test the resistance zone.Daily chart
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Traders are shorting
After the US PPI and Retail Sales release, traders were 55% bearish, as 55% of trader open position volume on the Swiss Foreign Exchange was in short positions.
In the meantime, pending orders in a 100-base point range around the pair were 50% to buy and sell the GBP/USD.
After the US PPI and Retail Sales release, traders were 55% bearish, as 55% of trader open position volume on the Swiss Foreign Exchange was in short positions.
In the meantime, pending orders in a 100-base point range around the pair were 50% to buy and sell the GBP/USD.