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"We expect bearish GBP against EUR but bullish against USD on the back of USD weakness."
- Hong Leong (based on PoundSterlingLive)
Pair's Outlook
Even though the GBP/USD currency pair appreciated on Wednesday, it was unable to retain its position near intraday highs. Today the closest short-term resistance is represented by the Bollinger band, the 55-day SMA, the weekly and monthly R1s around 1.4675, but a surge of at least 110 pips in order to reach that area is doubtful. The bullish momentum, however, is expected to prevail, with the Cable remaining under the 1.46 mark. Furthermore, technical indicators keep giving bullish signals, suggesting a retreat towards the immediate support in face of the weekly PP is unlikely.
Traders' Sentiment
Bullish traders' sentiment returned to its Tuesday's level of 54%, whereas the number of sell orders added 4% points up to 55%.
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