The decline of the GBP/USD eventually found support in the 1.2860 level, which was strengthened by the weekly S1 simple pivot point.
Since finding support, the rate began to trade in the range between the 1.2920 level and the mentioned pivot point.
Economic Calendar
No more relevant data for the pair is scheduled to be released during this week.
However, next week's data is available. Click on the link below to see the historical data tables with the reactions to various events.
Read More: 02.03-06.03 Event Historical Reactions
GBP/USD short-term review
On Thursday, the GBP/USD plummeted, as the UK announced its stance in trade negotiations with the EU. By the middle of the day's London trading hours, the pair was heading to the support of the weekly S1 simple pivot point at 1.2858.In the case of the rate passing the pivot point's support, tit would next head to a monthly pivot near the 1.2830 level.
However, the rate is oversold, as it has left above it the hourly simple moving averages. Due to that reason, the rate could trade sideways until the SMAs catch up.
Hourly Chart
On the daily candle chart, two notable factors can be spotted. The rate is ignoring the impact of the 100-day simple moving averages. In addition, the 1.2850 level stopped the rate's last week's decline.
Daily chart
Read More: Technical Analysis
Traders are neutral
Since Monday, 51% of open GBP/USD position volume on the Swiss Foreign Exchange was in short positions.
On Thursday, the sentiment became balanced. 50% of volume was in short and long positions.
Meanwhile, trader orders were almost neutral. In the 100-pip range, 53% of orders were to buy and 47% were sell orders.
On Wednesday, the pending trade orders were 56% to buy.
On Thursday, the sentiment became balanced. 50% of volume was in short and long positions.
Meanwhile, trader orders were almost neutral. In the 100-pip range, 53% of orders were to buy and 47% were sell orders.
On Wednesday, the pending trade orders were 56% to buy.