GBP/USD prepares a bullish attack

Source: Dukascopy Bank SA
© Dukascopy Bank SA
"With some MPC members already convinced that some fine- tuning of QE, with additional 25 billion pounds, could be of some support for the sluggish economy, further weakness in hard data might lead to a vote for more QE already in April."
- Newegde Group. (based on Bloomberg)

Pair's Outlook
The Cable closed unchanged yesterday, but during the trading session the price touched the monthly S1 level at 1.4867 and almost the lower Bollinger band, which was located at 1.4804. However, today the pair reverses its sentiments and attempts to start a bullish correction. The very first resistance would be the weekly PP at 1.4998 and the next one would be more serious, constructed by the 20-day SMA and the monthly R1 at 1.5110.

Traders' Sentiment

Bulls maintain the majority of opened positions and patently wait for the beginning of an upward impetus. SWFX market sentiment indicates 72% positions as long and 28% as short. Waiting orders market demonstrates the opposite situation, as 63% orders stand for short positions and 37% for long.
© Dukascopy Bank SA

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