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– Natixis (based on PoundSterlingLive)
Pair's Outlook
The GBP/USD currency pair confirmed yesterday's scenario, having climbed back above the 1.23 major level and even completely ignoring the immediate resistance at 1.2324. Friday brings a lot of uncertainty, as volatility direction is likely to be caused by Trump's speech during his inauguration later today. From a technical perspective we should see more upside movement, despite a group of strong resistances located just beyond the 1.24 handle. On the other hand, the US Dollar could receive a solid boost, with the Cable seen dropping as low as 1.21 in the worst case scenario.
Traders' Sentiment
Bulls keep retreating, as 69% of all open positions are now long (previously 71%). At the same time, the share of sell orders returned to its Wednesday's level of 52%, down from 55% on Thursday.
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