© Dukascopy Bank SA
In course of the May 30—June 3 trading week, we could observe the Cable going down, despite the major positive maneuvers were seen at the beginning of the observed period. The limited number of Dukascopy traders has expected such development to take place and was predicted only by 27.3% of all the votes. The average expectation for Friday was located around 1.462, while the real closing point was reached just a bit to the south of this level. Among important fundamentals last week, the latest services UK PMI came out above market expectations. According to the latest Markit release, the UK services PMI ticked higher in May to 53.5 points from 52.3 points noted in March. However, the pair managed to receive some support after the publication of US employment report, which heavily affected on the dollar performance, pushing it to the record low.
Along with the single European currency area, Britain is waiting for the poll results of possible UK exit from the Euro zone, which can considerably influence the performance of the GBP/USD currency cross. The Dukascopy traders are fully sure about the development of the pair, as the average forecast for June 10 is located slightly below the closing level of last Friday, namely at 1.45. Traders' sentiment, in turn, fully worsened, as now 66.7% of votes is short at the moment. The negative outlook is also suggested by megajorko, "Due to upcoming huge events as the referendum and the possibility of Brexit we will see huge waves of up and down movements at amplitude of at least 200 pips".
© Dukascopy Bank SA