© Dukascopy Bank SA
- Aozora Bank (based on Bloomberg)
Pair's Outlook
Although GBP/USD has recently taken a hit, it managed to find support circa 1.65 and commence a recovery. At the moment the Cable is approaching the resistance at 1.6679/41 that previously forced the price to plunge more than 150 pips before it could stabilise. If this area is broken, the up-trend line at 1.6809/1.6791 could be targeted next.
Traders' Sentiment
The recently opened short positions are still not affected by bullishness of the currency pair—the bears are in a distinct majority with 70% of the market. As for the orders, there are noticeably more traders planning to sell the Sterling against the Dollar—from 50% up to 63%.
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