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"The [US] dollar strength continued since earlier this month following the upbeat jobs data, but investors have found a lack of fresh trading cues to prompt them to buy further."
- Bank of Tokyo-Mitsubishi (based on Market Watch)
Pair's Outlook
After having tested the immediate support cluster, the Sterling managed to preserve the bullish momentum yesterday, but failed at reaching the closest resistance. Nevertheless, the GBP/USD has already almost touched the 1.53 major level, ignoring the first stop in face of the 20-day SMA. The current rally is taking place mainly due to a USD sell-off, as a possibility of the Fed delaying the interest rate hike this year remains. The Cable risks retesting the 1.5185 cluster today if the fundamentals trigger a supply and negate current gains; else, we might see the 55-day SMA crossed.
Traders' Sentiment
Once again 60% of traders are holding short positions (previously 61%), while the number of sell orders increased from 53 to 58%.
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