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"The interbank market is very definitely short of euros and short of sterling."
- a currency dealer (based on Reuters)
Pair's Outlook
Though the fundamental background was negative for the Pound, the currency did not wander away from the resistance at 1.5160/45 (weekly PP and monthly S3). Despite the demonstrated resilience, the outlook for GBP/USD is bearish, mainly because of the major falling trend-line at 1.5450. The immediate support is at 1.5050 (weekly S1), but there is a high chance of the pair sliding down to the 2013 low in the coming weeks.
Traders' Sentiment
For the time being the changes in the SWFX market sentiment are insignificant, and the bulls are in a majority with 57%. The distribution between the buy and sell orders is 44 to 56%, meaning it is easier for the Sterling to fall than to rise.
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