GBP/USD faces consolidation

The British Pound faced very low volatility during a trading session on Monday, as the price fluctuated only in a 70 pips range. It seems that the Cable experiences consolidation just after settling above the 20-day SMA. Since the price was depreciating for two and a half months, there is still a lot of bearish sentiments, which renew in every noticeable jump. Further upside movement would be stopped around a 1.5243 level, where the Bollinger band merges with the weekly R1.

Investors continue to reduce their exposure to the British Pound, as the buy side contracted by another 4% and amounts to 61%. Waiting orders segment is slightly bearish, as 56% of orders are short.