Next week, on Wednesday, the US ISM Services PMI at 14:00 GMT might impact the pair through the value of the US Dollar.
On Thursday, the top event for the GBP will occur. Namely, the Bank of England is set to make reveal its Monetary Policy Summary and the Official Bank Rate. The central bank is expected to hike by 0.50% from 1.25% up to 1.75%.
On Friday, one of the top events of the month will take place. At 12:30 GMT, the US employment data sets are scheduled to be released. The release will consist of the US Average Hourly Earnings, Non-Farm Employment Change and the Unemployment Rate.
GBP/USD short-term view
A continuation of the decline of the 1.2100 mark might look for support in the 100-hour simple moving average near 1.2095 and the weekly R1 simple pivot point at 1.2087. Further below, note the lower trend line of the channel up pattern.On the other hand, a recovery of the pair could encounter resistance in the combination of the 50-hour simple moving average and the 1.2150 mark, prior to approaching the 1.2200 and 1.2250 levels.
Hourly Chart
GBP/USD daily chart's review
On the daily candle chart, the pair has broken the 2022 channel down pattern by passing the upper trend line of the pattern.Meanwhile, the 50-day simple moving average was strengthening the resistance of the 1.2200 mark. Above the 50-day SMA, note the 100-day simple moving average, which was recently approaching the 1.2400 level.
Daily chart
Read More: Technical Analysis
Long sentiment decreases
On Friday, traders were slightly long, 54% of trader open position volume on the Swiss Foreign Exchange was in long positions.
In the meantime, pending orders in a 100-base point range around the pair were 53% to buy the GBP/USD.
On Thursday, the situation changed, as only 56% of positions were long and pending orders were 61% to buy.
On Friday, traders were slightly long, 54% of trader open position volume on the Swiss Foreign Exchange was in long positions.
In the meantime, pending orders in a 100-base point range around the pair were 53% to buy the GBP/USD.
On Thursday, the situation changed, as only 56% of positions were long and pending orders were 61% to buy.