The recovery from the support of the 1.3600 mark broke one resistance level after another. However, by the middle of Tuesday's European trading hours, it appeared that the GBP/USD had ended its surge. Namely, the rate had bounced off the 1.3750 mark and declined to 1.3700.
Economic Calendar
On Wednesday, US Durable Goods Orders release at 12:30 GMT could cause an adjustment in the value of the US Dollar. All the pairs that involve the USD are bound to move.
On Thursday, the US Preliminary GDP could cause a notable reaction in the markets.
GBP/USD short-term review
In the case that the rate passes the support of the 1.3700 level, the GBP/USD would look for support in the 55 and 100-hour simple moving averages near 1.3670 and 1.3680. Below the SMAs, the 1.3650 level could stop the rate's decline.Meanwhile, a recovery from the 1.3700 mark could once again test the resistance of the 1.3750 level and the 200-hour simple moving average. A passing of these levels could result in the pair reaching the 1.3800 level.
Hourly Chart
GBP/USD daily chart's review
On the daily candle chart, the GBP/USD exchange rate has reached the support of the 1.3600 level. The 1.3600 mark provided the pair with support in July.Daily chart
Read More: Technical Analysis
Long sentiment decreases
Since Friday, traders were long, as 58% of trader open position volume on the Swiss Foreign Exchange was in long positions.
On Tuesday, the long sentiment decreased to 55% long.
Meanwhile, in the 100-pip range around the rate the pending orders were 68% to buy.
Since Friday, traders were long, as 58% of trader open position volume on the Swiss Foreign Exchange was in long positions.
On Tuesday, the long sentiment decreased to 55% long.
Meanwhile, in the 100-pip range around the rate the pending orders were 68% to buy.