© Dukascopy Bank SA
"Carney made it very clear there's no more QE on the cards whilst Draghi makes it very clear QE is indeed on the cards."
- Mizuho Bank Ltd. (based on Bloomberg)
Pair's Outlook
Having breached the monthly S3, the Cable keeps slowly grinding lower, and it may soon reach 1.50. The last time the pair approached this level, GBP/USD surged more than 200 pips in the next four days. Nevertheless, as long as the major down-trend (currently at 1.5450) stays intact, the bearish outlook will remain valid. We expect the Sterling to slide down to the 2013 low at 1.48 in the next few weeks.
Traders' Sentiment
The distribution between the bulls and bears remains relatively stable—59% of open positions are long and 41% are short. The percentage of commands to sell the Pound in the radius of 100 pips from the spot price declined from 63 to 58%.
© Dukascopy Bank SA