© Dukascopy
"This is more of a dollar move than a sterling move. It feels like the market was slightly overdone in being long of dollars and it's time to unwind some of that"
- UBS (based on Reuters)
Industry outlook
GBP/USD committed a strong bullish reversal yesterday and the pair is likely to retest the recent high at 1.5992. However, if the pair stays below 1.5825, it might hit the 1.5643 and 1.5599 support lines in the near-term.
Traders' sentiment
GBP/USD continues to be oversold as with the shares of buy/sell orders being 26.63% and 73.37% respectively.
Long position opened
The first resistance level for GBP/USD is located near 1.6028. The bullish market payers might test the next resistance level at 1.6087 and 1.6201 respectively.
Short position opened
The largest market participants might close their positions 1.5855. In case the bearish momentum continues, some of the positions could also be withdrawn at S2 of 1.5741 and at S3 of 1.5682.
© Dukascopy