© Dukascopy Bank SA
- Scotiabank (based on PoundSterlingLive)
Pair's Outlook
The Fed's decision to keep rates unchanged weakened the American Dollar, allowing the British Pound to take the upper hand and negate Tuesday's losses yesterday. Despite a bullish development, technical studies now suggest the Cable is to decline, thus, fall back under 1.30. The GBP/USD currency pair is still expected to eventually touch the support cluster at 1.2885, where not only the weekly and the monthly S1s are located, but also the lower boundary of the post-Brexit consolidation trend. The upper border, however, is the July high of 1.3482, which will be the main target once bulls take over again.
Traders' Sentiment
SWFX traders' sentiment remains close to being neutral, as 52% of all open positions are long and the remaining 48% are short. The majority of all pending orders (55%), on the other hand, are to sell the Sterling.
© Dukascopy Bank SA