GBP/USD finishes Wednesday next to 1.60

Not to the same extent as the Euro, but the Sterling also notably benefitted from weakness in the Greenback. GBP/USD bounced off the support at 1.5850 (2013 Q4 low and weekly S2) and managed to settle above the monthly S1. Consequently, we can expect continuation of the rally. However, the currency pair should stay below 1.61, where the weekly PP and 20-day SMA coincides with the four-month falling trend-line.

The bullish participants are still in the lead with 60% of the SWFX market, leaving the bears in a distinct minority. Concerning the commands, 62% of them are set to sell the Pound against the US Dollar.