On Wednesday, at 13:30 GMT, the US Preliminary quarterly GDP is expected to impact the financial markets through the value of the US Dollar.
On Thursday, the publication of the US Core PCE Price Index at 13:30 GMT is most likely going to cause a USD move, as the US monetary policymakers watch this indicator.
GBP/USD short-term view
The rate could confirm the 1.2600 level as support and start a surge. A potential surge is expected to encounter resistance in the weekly R1 simple pivot point at 1.2663, before the 1.2700 mark would be reached.In the meantime, a decline of the Pound against the US Dollar is set to look for support in the 1.2560/1.2570 range, the weekly simple pivot point at 1.2554 and the 50 and 100-hour simple moving averages. If all of these levels fail, the rate might reach the combination of the 1.2500 mark, the 200-hour simple moving average and the weekly S1 at 1.2493.
Hourly Chart
GBP/USD daily chart's review
On the daily candle chart, the GBP/USD has broken the resistance of the 200-day simple moving average. There is no technical resistance on the daily candle chart, except the prior high and low levels of August and September that could impact the rate.Meanwhile, it was observed on Wednesday that as the rate ignored the moving average, it had started to respect the 1.2300/1.2450 range as support.
Daily chart
Read More: Technical Analysis
Traders are short on GBP/USD
On Monday, open GBP/USD positions by Swiss Foreign Exchange traders were 60% short.
Meanwhile, trader pending orders in the 100 pip range around the rate were 54% to buy.
Mid-Friday, open positons were 57% short and orders were 60% to buy.
Meanwhile, trader pending orders in the 100 pip range around the rate were 54% to buy.
Mid-Friday, open positons were 57% short and orders were 60% to buy.