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"Japan's experience and now Europe's current situation both indicate that indifference to very low inflation rates can generate a significant loss of confidence in the ability of a central bank to hit its inflation goal."
- Boston Fed President Eric Rosengren (based on Reuters)
Pair's Outlook
GBP/USD currency pair returned back to the levels seen in the middle of the previous week, as it managed to increase in value on Tuesday by crossing a dense supply area just below 1.59. Right now there are no major obstacles for the pair until at least 1.5990, where the Pound will meet the next supply zone, represented by 20-day SMA, monthly PP and weekly R1. Moreover, technical studies remain bearish in a short and medium-term.
Traders' Sentiment
Market sentiment moved closer to the 10-day average levels, as bulls now have 58% of all opened positions on the market. Pending orders, however, deteriorated in 100-pip range, as now 63% of them are set to sell the British currency versus the Greenback.
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