© Dukascopy
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"The BOE's stimulus will do little to avert recession and to keep inflation above the BOE's 2% target after a euro implosion would require a further ВЈ1 trillion of quantitative easing"
- Fathom Consulting (based on WSJ)
Industry outlook
A key resistance at 1.6142/85, being 200 day ma, is expected to halt any advancement, therefore the bias remains bearish for GBP/USD. Supports may be found at 1.5869, 55 day ma, 1.5632 and 1.5272.
Traders' sentiment
Traders' sentiment in GBP/USD market is rather stable, as the percentage of longs remains at the same level - 34.94%. On the other side, bearish traders currently form the largest part, being 65.06%, signalling that the pair is oversold.
Long position opened
Leading market participants, who have entered GBP/USD market with a buy trade, are expecting to close their positions at the key resistances at 1.6101, 1.6139 and 1.6239.
Short position opened
Bearish traders will pay attention to the key support levels to close their deals. The forecast targets are 1.6001, 1.5940 and 1.5841.