GBP/USD set to decline

The Cable remains bearish after hitting the 2009 highs. For now it is supported by the 20-day SMA, but there's a high probability of an extended sell-off. GBP/USD is likely to fall down to 1.6795/76, but it could potentially go deeper, toward the 14-month rising support line and 55-day SMA at 1.6741/16. Nevertheless, a majority of the technical studies are pointing north, especially on the daily and monthly time-frames.

As the value of the Sterling decreased, so did the share of bearish positions—from 69% to 64%. But there does not seem to be any notable support nearby, as 100 pips from the spot only 53% of the orders are to purchase the Pound.