© Dukascopy Bank SA
- BNP Paribas (based on CNBC)
Pair's Outlook
The Cable respected a tough demand area at 1.6300/1.6273, as it consists of several significant levels. However, it does not seem that the Pound will appreciate up to 1.6500/1.6453 during the bullish correction. Most likely the rebound will come to an end near the intermediate resistance at 1.6361. Then the 2012 highs should give in, paving the way towards the 200-day SMA at 1.5919/14.
Traders' Sentiment
It looks like many of the traders were discouraged by the latest fall in the Sterling's value—compared to yesterday's reading the share of long on GBP/USD positions contracted from 57% to 53%. At the same time the percentage of buy orders 100 pips from the spot plunged from 68% to 52%.
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