Economic Calendar
This week, there will be notable data released both in the UK and the USA. On Tuesday morning, at 06:00, the UK employment data will be published. The top data set will be the Claimant Count Change.
Also on Tuesday, watch the publication of the United States Producers Price Index at 12:30 GMT. This data release will provide an insight into US inflation situation. Note that producer price increases are usually passed on to consumers.
On Wednesday morning, the UK Consumer Price Index release might move the markets at 06:00 GMT.
Later on, on that same day, the most important event of the week will take place. The US consumer inflation numbers will be released. The US Consumer Price Index data sets will be published. High inflation might reveal that the Fed can not cut interest rates and the Dollar would surge.
On Thursday, the United Kingdom monthly GDP data will be published at 06:00 GMT.
Later on, at 12:30 GMT, the US Retail Sales data will reveal whether total sales of consumer goods hae continued to increase. Note that higher retail sales might be due to higher prices not higher amount of goods sold.
GBP/USD hourly chart analysis
In the near term future, the pair could surge to the 1.2800/1.2820 range. Higher above, take into account the resistance of the weekly R1 at 1.2828. If these levels fail, the combination of the weekly R2 at 1.2898 and the 1.2900 mark might be reached.On the other hand, a decline of the currency pair is expected to look for support and the 50 and 200-hour simple moving averages, the 1.2735/1.2750 zone and the weekly simple pivot point in that zone. Further below, the 100-hour simple moving average could slow down the rate, before it reaches the 1.2700 mark.
Hourly Chart
GBP/USD daily candle chart analysis
The GBP/USD found enough support in the 100 and 200-day simple moving averages and has recovered to face the 50-day simple moving average and teh 1.2800/1.2850 range.Read More: Technical Analysis
Traders go long
On Friday, traders were neutral, as 52% of open position volume at Dukascopy was in long positions.
In the meantime, trader set up pending orders in the 100-pip range above and below the current rate were 54% to sell.
On Monday, traders were 56% long. Meanwhile, pending orders were 68% to buy the GBP against the USD.
On Friday, traders were neutral, as 52% of open position volume at Dukascopy was in long positions.
In the meantime, trader set up pending orders in the 100-pip range above and below the current rate were 54% to sell.
On Monday, traders were 56% long. Meanwhile, pending orders were 68% to buy the GBP against the USD.