GBP/USD turns around ahead of 1.6237/14

Apparently, the Cable has lost the bullish momentum it carried last week. The price stopped rising ahead of the major resistance at 1.6237/14—currently it is moving towards the support mainly created by the monthly PP and the 55-day SMA. Despite the density of this area the Sterling is likely to cross it eventually and thus maintain a generally bearish direction.

The bearish traders keep on dislodging the bullish ones, being that the portion of the short positions has gone up three percentage points since the previous report. Then 70% of the SWFX market participants were planning profit from the depreciation of the British Pound.