GBP/USD pierced through major supports

A bullish scenario did not transpire, as the price bounced off the weekly PP and plummeted through some of the major supports (monthly S1 and 200-day SMA) on the back of softer BoE rhetoric. Right now the Pound is trading near the May low and seems to be willing to extend the recent losses. If this is the case, GBP/USD will be expected to travel four and a half figures South over the coming months and eventually meet this year's low at 1.6250.

There has been a slight increase in the percentage of long positions, namely from 59 to 61%. At the same time the share of buy orders placed 50 pips from the spot soared from 51 to 71%, as the price of the Sterling noticeably declined.