© Dukascopy Bank
"Cable could ease towards $1.55 and even $1.53 primarily because of the dollar's strength and also because the BoE's stance has not really changed"
- Saxo Bank (based on Reuters)
Pair's Outlook
Support at 1.5785 has repeatedly repelled GBP/USD, which is expected to erode the level eventually, as the CAble has recently bounced off a formidable resistance at 1.6111 and is headed towards 1.5263, which, in turn, might be attained within the next three months. Rallies are presently limited by resistances that may be found at 1.5888/1.5922.
Traders' Sentiment
Sentiment of market participants is becoming neutral on GBP/USD, since the share of long positions opened on the pair is gradually decreasing and has already reached 55%. At the same time the portion of short positions in the market has already grown up to 45%. If we count the proportionality of buy to sell orders 100 pips from the current price in SWFX marketplace, then we will get a ratio of 40% to 60%.
© Dukascopy Bank