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"Waning downward momentum and oversold condition suggests that GBP is entering a consolidation phase (before moving lower at a later stage). Range trading is expected for today, likely between 1.5330 and 1.5420."
- UOB Group (based on FX Street)
Pair's Outlook
The Cable remained flat on Thursday, as the Bollinger band prevented the pair from advancing. Nevertheless, the Sterling remains supported by the weekly S1, which proved to be a strong level and is likely to cause the Pound to attempt and rise again today. Immediate resistance remains unchanged, the weekly S1, although the British currency is edging closer to the resistance trend-line, which provided sufficient resistance for the past three weeks. Meanwhile, technical studies retain their mixed signals.
Traders' Sentiment
Bulls retreated for the fourth consecutive day, as only 55% of positions are long today (previously 56%). The number of buy orders, on the other hand, inched up from 39 to 47%.
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