On Monday morning, the GBP/USD currency pair tested the resistance of the 1.3600 mark.
By the middle of the day's European trading hours, the pair had bounced off the resistance and returned to levels near 1.3550. Near the 1.3550 mark, the rate might find support in the 100-hour simple moving average and the weekly simple pivot point at 1.3542.
Economic Calendar
The top data set of the week will be released on Wednesday at 13:30 GMT. At that time, the US Consumer Price Index and Consumer Price Index are set to be published.
On Thursday, at 13:30 GMT, the US Producers Price Index and Core Producers Price Index data sets are scheduled to be published. At the same time, the US weekly Unemployment Claims could cause a minor impact on the USD.
The week will end with the US Retail Sales and Core Retail Sales on Friday at 13:30 GMT.
Click on the link below to find out more about data releases of this and other currency exchange rates.
GBP/USD short-term review
A decline of the GBP against the USD would have to pass the weekly simple pivot point at 1.3542, before aiming at the 200-hour simple moving average near 1.3520. Further below, the pair could find support in the 1.3500 mark.Meanwhile, a recovery of the pair might find resistance in the 50 and 100-hour simple moving averages near 1.3550 and 1.3560. Above the moving averages, the exchange rate could once again test the resistance of the 1.3600 level.
Hourly Chart
GBP/USD daily chart's review
On the daily candle chart, the rate remains in the borders of the large scale channel down pattern.Most recently, the rate passed the resistance of the 100-day simple moving average near 1.3550, which had kept the rate down for five consecutive trading sessions.
Daily chart
Read More: Technical Analysis
Short sentiment grows
Since Thursday, traders were bearish, as 62% of trader open position volume on the Swiss Foreign Exchange was in short positions.
Meanwhile, on Monday, in the 100-pip range around the rate the pending orders were 51% to sell the GBP against USD.
Since Thursday, traders were bearish, as 62% of trader open position volume on the Swiss Foreign Exchange was in short positions.
Meanwhile, on Monday, in the 100-pip range around the rate the pending orders were 51% to sell the GBP against USD.