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- Dane Williams, Foenix Partners (based on Business Recorder)
Pair's Outlook
The GBP/USD currency pair retreated from its intraday gains on Friday and ended the day with a 53-pip loss, amid Fed Yellen's statement that there might be two rate hikes by year's end. However, despite this decline the Cable is expected to edge higher, as technical studies in the daily timeframe suggest. On the other hand, the weekly and the monthly PPs form a strong resistance area around 1.3160, that could prevent the pair from posting gains of more than 30 pips. Due to lack of impetus, a 30-pip rally might be all that the Sterling could squeeze out today, which would still support the positive outlook.
Traders' Sentiment
There are 56% of traders with a negative outlook towards the Cable today, compared to 58% on Friday. Meanwhile, the share of purchase orders remains basically unchanged, as it dropped from 58 to 55%.
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