Economic Calendar
This week, markets will watch the publication of the US Consumer Price Index on Wednesday at 13:30 GMT. The inflation data will reveal whether the US government and the central bank can continue to stimulate the economy.
However, the markets already expect annual inflation to have increased from 2.4% up to 2.6%.
On Thursday, inflation at the wholesale level will be revealed. At 13:30 GMT, the Producer Price Index data sets will be published.
Lastly, on Friday, at 13:30 GMT, the US Retail Sales data release might impact the markets via the US Dollar.
GBP/USD hourly chart analysis
A move below 1.2840 might result in the rate looking for support in the weekly S1 simple pivot point at 1.2816 and the 1.2800 mark. Further below, most close by support is the weekly S1 simple pivot point at 1.2718 and the 1.2700 level.On the other hand, a recovery of the Pound against the US Dollar might encounter resistance in the combination of the 50, 100 and 200-hour simple moving averages and the weekly simple pivot point at 1.2932. If these levels fail, the rate will once again face the 1.3000 mark.
Hourly Chart
GBP/USD daily candle chart analysis
On the daily candle chart, the rate is still squeezed in between the 100 and 200-day simple moving averages. Meanwhile, note the approaching 50-day simple moving average near 1.3100.Read More: Technical Analysis
Traders are going long
Last week, Dukascopy trader open position volume showed that 51% of trader open positions were long.
Meanwhile, pending orders 100-points around the rate were 57% to buy.
These orders appear to be executed, as 58% of open position volume was long, this Monday.
However, the pending orders were still set to buy, as 54% of all the orders were to buy.
Meanwhile, pending orders 100-points around the rate were 57% to buy.
These orders appear to be executed, as 58% of open position volume was long, this Monday.
However, the pending orders were still set to buy, as 54% of all the orders were to buy.