© Dukascopy Bank SA
"While a downbeat reading [of the US Payrolls] may cause relatively-straightforward reaction of dollar selling, an upbeat figure won't necessarily lead to a higher dollar."
- Citigroup (based on Market Watch)
Pair's Outlook
The British Pound retested the 23.60% Fibo, but remained relatively unchanged over the day, having added only two pips. In spite of the Cable's attempts to edge higher today, the outlook remains bearish. The 23.60% Fibo keeps preventing the Sterling from climbing higher this week, thus, a chance of the GBP/USD reaching this area persist. The base case scenario, however, is a fall towards the 1.51 major level or the immediate support around 1.5025, namely the Bollinger band or the weekly S1. Moreover, technical indicators shifted from neutral to bearish, suggesting a decline is nigh.
Traders' Sentiment
Bullish market sentiment returned to its Wednesday's level of 63%, while the ratio of the buy and the sell orders is now equal to one.
© Dukascopy Bank SA