On Tuesday, watch the publication of the US Retail Sales at 12:30 GMT. The markets could move due to an adjustment in the USD value.
GBP/USD hourly chart analysis
The approaching 50-hour simple moving average might provide the needed support for the rate to move above 1.3000. Above the 1.3000, resistance might be encountered in the weekly R1 at 1.3058 and the 1.3050 level.On the other hand, a decline of the Pound against the USD is set to look for support in the 1.2950 level that on Monday was strengthened by the 50-hour SMA. Further below, note the weekly simple pivot point at 1.2917.
Hourly Chart
GBP/USD daily candle chart analysis
On the daily candle chart, the pair has hit the upper trend line of the pattern that has guided the GBP/USD up since mid-April. Moreover, the pair apparently has booked a new 2024 high level.
A bounce off from the trend line could result in the rate looking for support in 1.2900 and the prior 2024 high at 1.2899, before the rate declines to the 1.2800/1.2850 zone.
Read More: Technical Analysis
Traders double down
Last week, the Dukascopy open positions were short as 70% of all open position volume was in short positions.
Meanwhile, pending orders in the 100-pip range around the rate were 65% to sell the pair.
This week, traders had doubled down on their shorts, as 74% were short and pending orders were 51% to sell.
This week, traders had doubled down on their shorts, as 74% were short and pending orders were 51% to sell.