GBP/USD soars

As expected, the support, created by the weekly pivot point, but mainly by the 200-day SMA, was used as a springboard for the pair to jump up to a local high. The advancement towards the resistance at 1.5762/50 should prove to be fairly easy in the medium term, considering a lack of important resistances on the path there. Still, there is the weekly R1 at 1.5657, although it is highly unlikely that GBP/USD will rise this high during the remaining two days, before the pivots are reset.

The Sterling became slightly more expensive yesterday, thus giving a reason for some of the SWFX marketplace participants to suspect that the pair is approaching its peak. As a result, at the moment there are more short positions than yesterday, namely 67% of all the open ones.