© Dukascopy Bank SA
- Credit Agricole (based on Reuters)
Pair's Outlook
GBP/USD bounced off of the upper boundary of the emerging ascending channel yesterday, but there is not a lot of room for the sell-off to extend. The immediate support is at 1.3320 (23.6% Fibo), while the recently broken trendline is at 1.3275. Additional demand area is seen near 1.32, where the lower bound of the channel merges with the 55-day SMA, but it is unlikely to be tested before an attack on 1.3500/1.3480. Within this area supply is represented by the July high and resistance trendline.
Traders' Sentiment
SWFX sentiment remains perfectly unchanged—there is a 24 percentage point difference between the shares of longs and shorts just like five days ago. Meanwhile, the portion of sell orders increased from 58 to 60%.
© Dukascopy Bank SA