© Dukascopy Bank
"Cable's attempts to rise above the $1.60 level have failed and we could it see drift lower"
- FXPro (Reuters)
Industry outlook
Being that a previous support line located at 1.5765 did not manage to withstand bearish pressure, 1.5650/43 has now come into play. Resistances may be found at 1.5886 (200 day ma) and 1.6000.
Traders' sentiment
The largest portion of traders (58%) are planning to enter the market with a sell trade, while 42% of them anticipate the Cable to grow.
Long position opened
Leading market participants, who have entered GBP/USD market with a buy trade, are expecting to close their positions at the key resistances at 1.5833, 1.5949 and/or 1.6018.
Short position opened
Major dealers are planning to partially close their short positions if the pair touches upon the first support level at 1.5648. However, if the bearish impetus proves to be strong enough, some of the positions could be squared off at S2 of 1.5579 and at S3 of 1.5463.
© Dukascopy Bank