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"The data was on the weaker side, but the currency is being driven by Brexit concerns. Any poll that shows some support for the 'remain' camp is offering support to the pound."
- Credit Agricole (based on Business Recorder)
Pair's Outlook
The Cable dropped slightly under the weekly R1 on Wednesday, confirming the bearish scenario. Today's technical indicators retain mixed signals, also unable to give a clear sense of direction. In case bears push the GBP/USD currency pair lower, losses are likely to be limited by the tough support cluster around 1.4240, represented by the 20 and 55-day SMAs, as well as the weekly and the monthly PPs. On the other hand, despite the Sterling's overall bearish trend, there is still room for a rally towards the resistance area around 1.4450, with the next target being a larger scale down-trend, where price is eventually expected to bounce back.
Traders' Sentiment
As of right now, relative difference between longs and shorts and buy and sell orders is the same - plus 14%.
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