During Thursday morning, the GBP/USD exchange rate was consolidating near the weekly S2 at 1.1642.
Given that the rate is pressured by the 55-hour SMA, it is likely that some downside potential could prevail.
Economic Calendar
This week, there are no events left that could impact on the GBP/USD rate.
Meanwhile, Dukascopy Analytics are not publishing the historical reactions this week, as the market environment has changed to such a degree that the historical data is unlikely to be relevant.
GBP/USD short-term review
Yesterday, the GBP/USD exchange rate surpassed the weekly S1 at 1.1642. During Thursday morning, the rate was testing the 1.1500 level.On the one hand, it is likely that some downside potential could continue to prevail in the market. In this case the currency pair could target the psychological level at 1.1200.
On the other hand, the British Pound could consolidate against the US Dollar near the weekly S1 in the nearest future. It is unlikely that bulls could prevail, and the rate could exceed the 55-hour SMA, currently located near 1.1900.
Hourly Chart
On the daily candle chart, the drop of the pair can be observed better. One can see that the support level formed by the monthly S2 was broken.
Daily chart
Read More: Technical Analysis
Long sentiment increases
On Thursday, 65% of open GBP/USD position volume on the Swiss Foreign Exchange was in long positions.