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"The release of U.S. ADP employment on Wednesday and non-farm payrolls on Friday will be key in analysing the quantum of a September rate hike."
- IG (based on Reuters)
Pair's Outlook
Although the Sterling declined against the US Dollar on Friday, the Cable quickly rebounded and stabilised above the 1.54 major level over the weekend. Due to the lack of market movers today, the GBP/USD currency pair is likely to retain its position above the psychological level and possibly to keep rebounding to 1.5470. From below the Pound remains supported by the monthly S1 and the Bollinger band, which should prevent any volatility in that direction. Meanwhile, technical studies keep giving mixed signals, suggesting the British currency is to trade flat over the day.
Traders' Sentiment
Both net orders and net positions remain unchanged since Friday, with 51% of traders being long and 52% of orders to buy the Pound.
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