GBP/USD takes another shot at 100-day SMA

The better-than-expected UK Manufacturing PMI was insufficient for the Cable to maintain trade near the 1.55 level yesterday. The pair encountered a rather strong supply at that point, but the exchange rate managed to hold above the 1.54 mark. Although technical indicators retain their bullish signals today, the 100-day SMA is still likely to prevent the Sterling of edging higher, whereas the cluster around 1.5360 keeps providing solid support. Nonetheless, the outlook remains positive, as the 20-day SMA is on the verge of crossing the 55-day one to the upside, suggesting a rally is to occur.

There are now only 52% of traders holding long positions (previously 55%), while the portion of buy orders dropped 11% points to 53%.