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– ING (based on PoundSterlingLive)
Pair's Outlook
Tuesday ended relatively pleasant for the British currency, being that it managed to erase most of intraday losses yesterday. Wednesday also brings some positive news, as technical indicators now suggest the GBP/USD currency pair is to edge higher. Moreover, within the next few weeks we should see a potential buy signal, when the 55-day SMA crosses the 100-day one to the upside. At the moment, however, the Cable could continue undergoing a correction, meaning that a close in the red zone is possible. The main target at this point is the resistance cluster around 1.2680, which could limit the Sterling's capability of posting further gains against the US Dollar.
Traders' Sentiment
For the seventh time in a row market sentiment weakened. Today 62% of traders are long the Pound, compared to 66% on Tuesday.
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