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"There may be some support from the GDP. But the message from the Bank of England's chief economist on Friday was pretty gloomy: it's going to be very difficult for the UK to raise and the market is I think in that frame of mind. That may put sterling on the defensive against the dollar."
- Rabobank (based on Reuters)
Pair's Outlook
After violating the down-trend and reaching the next resistance at 1.6185 (weekly R1), the currency pair returned back to 1.61. If this level proves to be the new support, the Sterling will be expected to rise up to 1.63, where the demand is implied by the monthly pivot point and 55-day SMA. But if the bulls do not manage to lift the price, there is likely to be a quick decline to 1.5960 (monthly S1) and then to 1.5870 (2014 low).
Traders' Sentiment
There was no real change neither in the sentiment of the market, nor in the distribution between the buy and sell orders. In the first case the bulls continue to dominate with 61%, whereas in the second case the sell commands are in the lead with 58%.
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