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- WSJ
Industry outlook
Currency couple’s rally has been halted by a resistance line situated at 1.5835, triggering a trade off. Currently the pair is head-ed towards 1.5715. In case the latter level is breached, the price is expected to target lower supports located at 1.5545.
Traders’ sentiment
The British pound continuously loses its attractiveness to traders, who deem it inclined towards depreciation more than appreciation. Respectively 46.42% of all the positions in GBP/USD are long and 53.88% are short.
Long position opened
Investors should pay attention to the identified with the help of the standard pivot point method resistance zones, as they might be useful for intraday trading. The initial resistance level is at 1.5819, whereas R2 and R3 are situated at 1.5891 and 1.6009 accordingly.
Short position opened
Major dealers are planning to partially close their short positions if the pair touches upon the first support level at 1.5701. However, if the bearish impetus proves to be strong enough, some of the positions could be squared off at S2 of 1.5657 and at S3 of 1.5540.