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- TJM Brokerage (based on Reuters)
Pair's Outlook
The British currency received a boost from a good CPI reading yesterday, successfully climbing over the 1.23 mark. As a result, the Sterling could post more gains against the US Dollar, with the next target being the 1.24 level. However, the 1.24 mark is bolstered by the weekly R1, which could prevent the Cable from edging above 1.2390. Meanwhile, technical indicators are giving mixed signals in all timeframes, creating a possibility for a corrective decline to occur. In this case the immediate support area will doubtfully limit the losses, with the pair sliding back to 1.22.
Traders' Sentiment
Today 63% of traders have a positive outlook towards the Pound, compared to 66% on Tuesday. There has been a solid increase in the share of purchase orders, namely from 39 to 47%.
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