- The Swiss market is 54% bearish
- 59% of pending orders in the 100-pip range are set to SELL
- US data will be released at 12:30 GMT
The large scale situation has not changed due to the US rate hike. The rate remains in a long term ascending pattern. However, if the pattern gets broken, the GBP/USD could fall down to the 1.3000 level.
On Wednesday, the US Federal Fed funds rate hike occurred. The full review of the event will be available in the fundamental analysis section with the recording of the live cover webinar in the near future.
Medium data from US at 12:30 GMT
Although the US Federal Funds rate hike already occurred on Wednesday, the week is not over for release traders.
On Thursday, the US Durable Goods Orders, Core Durable Goods Orders and Final GDP will be published at 12:30 GMT. The event will be covered by Dukascopy on the bank's live webinar platform. The cover will begin at 12:20 GMT.
In addition, note that heads of central banks are set to give speeches during the day. Mario Draghi at 13:30 GMT. Jerome Powell at 20:30 GMT, and the head of the Bank of Canada at 21:45 GMT.
Moreover, macroeconomic data release traders need to take into account that there will be more releases on Friday. At 08:30 GMT the UK Current Account will be published, and at 12:30 GMT the Canadian GDP data will be published.
GBP/USD short term review
If the support line at the 1.3110 level gets passed, the rate might fall as low as the 1.3000 level, as below the rate there are no technical support levels.However, the currency exchange rate might rebound from the support level and one more approach the resistance levels at the 1.3140 mark.
Hourly Chart
The recently discovered ascending long term pattern was not broken by the rate hike in the US. Actually, the pattern held the rate from plummeting, as its lower trend line provided support on Thursday.
However, if its lower trend line gets passed, there is no other technical support level as low as the 1.30 level. At the 1.30 mark the weekly S1 was located together with the 55-day simple moving average.
Daily chart
The bearish sentiment of the Swiss Foreign Exchange remained unchanged after the US rate hike, as 54% of trader open positions were short on Thursday.
In the meantime, trader set up orders, which indicate where the rate most likely will go next, were neutral on Thursday.
GBP/USD traders did not react to the US rate hike, as they were already slightly shorting it. Instead, some gained profits from the decline by shorting it.
Moreover, there was no large reason for a change in open positions, as no large patterns were broken.
Spreads (avg, pip) / Trading volume / Volatility