On Tuesday, the GBP/USD currency exchange rate was recovering, as it headed to the resistance of the weekly pivot point at the 1.1838 level.
The rate was expected to reach this level and trade below it until the additional support of the hourly simple moving averages pushes the rate through the pivot point.
Economic Calendar
This week, there are couple of events that could affect the GBP/USD rate.
On Wednesday, March 25, the UK CPI data will be published at 9:30 GMT. Since October, the rate had moved from 15.1 to 37.3 pips because of the event.
At the same day, the US Durable Goods Orders data will be released at 12:30 GMT. This event has caused moves from 6.2 to 16.8 pips since October.
On Thursday, March 26, the UK Retail Sales will be published at 9:30 GMT. The rate moved from 14.6 to 21.8 pips on the announcement. An exception to this range was the 58.2 pip move in January.
The week will end with the US Final GDP data release on Thursday at 12:30 GMT. A move from 8.1 to 52.0 pips has occurred on the rates charts since December 2018. However, the March 2019 52.0 pip move was an anomaly. The second largest move was 16.0 pips.
Meanwhile, this week's data is available. Click on the link below to see the historical data tables with the reactions to various events.
GBP/USD short-term review
It is likely that the currency pair could gain support from the 55-hour SMA near 1.1600 and continue to trade upwards in the nearest future. In this case the pair would have to surpass the weekly PP at 1.1838.If the given level holds, it is likely that a reversal south could follow, and the British Pound could consolidate against the Greenback. Otherwise, it is likely that the exchange rate could target the 200-hour SMA near 1.2000.
Hourly Chart
On the daily candle chart, it could be observed that the pair is finding support in the 1.1500 level, which has kept the rate up since March 18.
Daily chart
Read More: Technical Analysis
Long sentiment increases
On Monday, 65% of open GBP/USD position volume on the Swiss Foreign Exchange was in long positions.
By the middle of Tuesday's GMT trading hours, the sentiment was 68% long.
Traders were expecting a recovery of the currency exchange rate.
By the middle of Tuesday's GMT trading hours, the sentiment was 68% long.
Traders were expecting a recovery of the currency exchange rate.