This week, all attention will be paid to the US Federal Reserve Rate Statement on Wednesday at 18:00 GMT. It is set to set the tone for the rest of the central banks and the global economy.
In addition, note that on Thursday, the markets will be watching the US Advance quarterly Gross Domestic Product data at 12:30 GMT.
GBP/USD short-term view
If the Pound surges against the US Dollar above the 1.2000 mark, the rate might test the resistance of the zone near the 1.2050 mark. Higher above, note that the weekly R1 simple pivot point at 1.2087 might act as resistance.However, a potential decline of the currency pair might look for support in the 200-hour simple moving average, which, despite being pierced, stopped the pair from dropping during the previous week.
Hourly Chart
GBP/USD daily chart's review
On the daily candle chart, the pair shows that it has reached a new 2022 low level. The pair has no additional technical support on this chart as low as the 1.1500 mark, where the lower trend line of a channel down pattern is located at.In the meantime, note that the recent recovery might encounter resistance in the upper trend line of the 2022 channel down pattern near 1.2100.
Daily chart
Read More: Technical Analysis
Traders are mostly long
On Friday, traders were long, 66% of trader open position volume on the Swiss Foreign Exchange was in long positions.
In the meantime, pending orders in a 100-base point range around the pair were 63% to buy the GBP/USD.
On Monday, the open positions were 64% long and pending orders were 59% to buy.
On Friday, traders were long, 66% of trader open position volume on the Swiss Foreign Exchange was in long positions.
In the meantime, pending orders in a 100-base point range around the pair were 63% to buy the GBP/USD.
On Monday, the open positions were 64% long and pending orders were 59% to buy.