© Dukascopy Bank SA
"The data seems to be providing a little bit of a shield to a dip lower for now. There's some nervousness before Carney's first policy meeting this week so you won't see any big shifts in the pound before that."
- Investec Bank Plc. (based on Bloomberg)
Pair's Outlook
Major support line at 1.52 (median of the price expectations of major market participants) and Fibo 23.6% (mid-May to mid-June rally) at 1.519 did not manage to support the pair. It dipped by almost 100 pips already and, as technical indicators suggest, the pair is still facing significant downside risk. However, pairs losses should be capped by the 1.51 and 1.50 for the time being. Short term rallies should not advance far above 1.52.
Traders' Sentiment
Share of bulls in the market increased by additional 3 (+5% in the last few days) and at the moment they account for 67% of market participants. Amount of pending orders posted by the bulls, however, decreased by 2% and is at 62% level today.
© Dukascopy Bank SA