© Dukascopy Bank
"Cable feels perky with the 'risk-on' scenario helping"
- Citi (based on Reuters)
Industry outlook
After testing 1.5915 (200 day ma) the Cable is expected to fall down to 1.5645. Subsequent targets lie at 1.5580 and at 1.5300. In the short-term rallies should be thus kept by 1.5915, while in the long-term the pair may slide down to 1.5188.
Traders' sentiment
Most of the market participants (78%) remain short on GBP/USD, expecting it to go lower. However, 22% of traders deem the pair bullish.
Long position opened
FX market participants have put their take profit orders at the key resistance points of intraday trading. Some of the investors might close their deals at 1.5886 and 1.5924. The higher level is at 1.5969.
Short position opened
A part of the brokers will close their short positions near initial support level at 1.5803. In case of downtrend continuation, the pair might rebound from the S2 at 1.5758 or S3 at 1.5720.
© Dukascopy Bank