On Friday, the US Consumer Price Index release at 12:30 GMT is set to impact all financial markets through the value of the USD.
GBP/USD short-term review
A continuation of the decline of the Pound against the US Dollar might look for support in the previously passed support zone at 1.2460/1.2480. Further below, take into account the Tuesday's low level at 1.2430.On the other hand, a potential surge of the pair would have to pass the 1.2600 mark and the weekly R1 simple pivot point at 1.2611.
Hourly Chart
GBP/USD daily chart's review
On the daily candle chart, the rate has passed above the resistance line of the larger scale channel down pattern, which has guided the rate's decline since early February. Moreover, the pair confirmed the previous resistance as support.Next target for the surge was the 50-day simple moving average near 1.2650. Higher above, note the March and April support zone near 1.3000. Namely, the 1.3000 mark could act as resistance.
Daily chart
Read More: Technical Analysis
Traders are short
On Wednesday, traders were 55% bearish, as 55% of trader open position volume on the Swiss Foreign Exchange was in short positions.
In the meantime, pending orders in a 100-base point range around the pair were 52% to buy the GBP/USD.
On Wednesday, traders were 55% bearish, as 55% of trader open position volume on the Swiss Foreign Exchange was in short positions.
In the meantime, pending orders in a 100-base point range around the pair were 52% to buy the GBP/USD.