© Dukascopy Bank
"We think cable should be back towards $1.50 as a first stopping point. We have been expecting broad dollar strength and sterling to be part of that story"
- Schroders (based on Reuters)
Industry outlook
The Cable is now facing a formidable support level situated at 1.5650/43. However, after a temporary rebound the latter level is expected to be penetrated, giving the possibility for GBP/USD to fall down to 1.5235.
Traders' sentiment
The share of sell orders (69%) on GBP/USD currently exceeds the portion of buy orders (31%), making the pair bearish according to the traders' sentiment.
Long position opened
Largest brokers set a new long position target as a break of 1.5689 is an encouraging bullish sign en route to 1.5739. If the uptrend remains, the third target for intraday trading will be 1.5782.
Short position opened
The immediate support line is at 1.5596. Should the price step even lower, it will encounter subsequent levels at 1.5553 and 1.5503, where recovery might start.
© Dukascopy Bank