© Dukascopy Bank SA
- Peter Kinsella, Commerzbank (based on Bloomberg)
Pair's Outlook
Wednesday's sell-off did not extend beyond the support at 1.67, where the Cable currently resides. But, according to the daily studies, the bearish pressure is unlikely to subside just yet. A breach of this level will expose the 2014 low at 1.6250. On the other hand, most of the monthly indicators are pointing upwards, meaning soon there might be a bullish correction, though this will require GBP/USD to rise above the dense resistance at 1.6750.
Traders' Sentiment
The sentiment towards the British Pound remains perfectly unchanged, as 61% of open positions are currently long, only a fraction away from the 10-day average (60%). As for the orders, there is no difference between the buy (52%) and sell (48%) ones.
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