GBP/USD's outlook stays bearish

The Cable carries on moving away from the formidable resistance area at 1.5221/1.5177, as selling pressure there disables bulls and thus prevents rallies. Accordingly, we are inclined to believe that the year-to-date decline from 1.6389 is not over yet and the selling-off should be reignited, leading to violation of 1.4866/29. Speaking about a long-term perspective (three months and beyond), there is a significant chance of the price re-testing 1.4231, the 2010 low.

The gap between the bulls and bears is slowly widening. Now the former constitute 56% of the market, while the latter take up 44% of the total amount of traders. As for the orders, the advantage of buy orders (55%) over sell ones (45%) is also expanding at a moderate pace.