- The Swiss market is 54% bullish
- 56% of pending orders in the 100-pip range are set to BUY
- No notable data until Friday
By the middle of Thursday GBP/USD had booked a new low level. Although, after reaching down to the 1.2920 mark, the currency exchange rate had begun a rebound, which was set to face the resistance of the 55 and 100-hour simple moving averages.
The British pound depreciated against the US Dollar, following the UK Services PMI data release on Wednesday at 08:30 GMT. The GBP/USD exchange currency rate lost 3 pips or 0.02% during a minute, right after the release. In the next minutes the rate was trading at the 1.3005 level.
The Markit released the UK Services PMI data that came out lower-than-expected of 53.9, compare to forecasted 54.0.
Chris Williamson, the Chief Business Economist .said: "The service sector continued to report solid steady business growth in September which, alongside news of sustained expansions in both manufacturing and construction, suggests the UK economy expanded by just under 0.4 per cent in the third quarter."
Data traders wait for Friday
All traders should note that on Friday at 12:30 GMT the US employment data sets like the Employment Change and Average Hourly Earnings will be published. By some financial media this event is seen as the most important of them all.
Join the event's cover webinar at 12:20 GMT to participate and see the data release live.
GBP/USD short term review
During Thursday's session, the 55-hour simple moving average will keep trying to resist the British pound to push the rate to trade at lower levels. Most likely, the rate will try to pass the weekly S1 at 1.2948 one more time to trade near the 1.2900 level during the day.However, the rate might break the 55-hour SMA's resistance to surge upwards to trade at the 1.2980 level.
Hourly Chart
A new possible long term ascending pattern was spotted on the GBP/USD charts on Thursday.
If its lower trend line forces the rate into a proper rebound and a surge through the pivot point levels at 1.3040 and 1.3080, it might guide the rate up to the 1.3200 mark.
Daily chart
By the middle of Thursday's trading 54% of Swiss Foreign Exchange traders were long on the GBP/USD.
In the meantime, trader set up orders, which indicate where the rate most likely will go next, were set to buy in 52%% of all cases.
In general, sell orders were gone, as they most likely were cancelled due to the GBP/USD rebounding during the last 24 hours. Instead a slight dominance of the long traders and their buy orders had been established.