© Dukascopy
"With household consumption falling, government spending shrinking and export growth slowing, the [U. K.] economy is weakening"
- OECD (based on WSJ)
Industry outlook
GBP/USD has confronted a strong downtrend at 1.5535 and is likely to bounce off it toward lower levels. Additional resistance is provided by 1.5991. Dips are expected to extend down to 1.5330 and 1.5272 afterwards.
Traders' sentiment
The British Pound - American Dollar currency pair is much more bullish at the moment than bearish according to SWFX traders' sentiment. 62.69% of traders hold long positions, while 37.31% of market participants anticipate the cable to lose some ground.
Long position opened
Largest brokers set a new long position target as a break of 1.5575 might become an encouraging bullish sign en route to 1.5652. If the uptrend remains, the third target for intraday trading will be 1.5787.
Short position opened
Major market participants with short positions will hold their deals until the price slides down to the initial support level at 1.5439. If the price continues the downtrend, the dealers might wait for the price to depreciate down to 1.5381 or 1.5246.
© Dukascopy