This week, the financial markets could adjust to the publication of the US Federal Reserve Federal Open Market Committee Meeting Minutes publication on Tuesday at 19:00 GMT. However, the impact of the minutes has been low during the prior months due to the release of the US monetary policymaker protocols not including anything new.
On Friday, take into account that the release of the European, United Kingdom and United States Markit Manufacturing and Services Purchasing Managers Indices are set to be published and impact respectively the Euro, Pound and the US Dollar. The publications are scheduled to be done throughout the day.
GBP/USD short-term view
A breaking above 1.2510 could result in the rate testing the resistance of the 1.2550 level and the weekly R1 simple pivot point at 1.2576, before the 1.2600 mark would be reached.In the meantime, a potential decline of the Pound against the US Dollar could look for support in the combination of the 1.2450 level and the 50 and 100-hour simple moving averages. Below these levels, note the 1.2400 mark, the weekly simple pivot point at 1.2386 and the support zone at 1.2373/1.2380.
Hourly Chart
GBP/USD daily chart's review
On the daily candle chart, the GBP/USD struggles to break the resistance of the 200-day simple moving average near 1.2510. If the SMA fails, there is no technical resistance. Meanwhile note that the prior high and low levels of August and September could impact the rate.Daily chart
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Traders are short on GBP/USD
On Monday, open GBP/USD positions by Swiss Foreign Exchange traders were 54% short.
Meanwhile, trader pending orders in the 100 pip range around the rate were 51% to sell.
On Monday, open GBP/USD positions by Swiss Foreign Exchange traders were 54% short.
Meanwhile, trader pending orders in the 100 pip range around the rate were 51% to sell.