GBP/USD underpinned by weekly PP

For the time being the weekly PP seems to be providing enough support for the Cable to stay afloat. On the whole the technical indicators are also implying good performance by the Sterling, but the currency lacks momentum to continue its recovery. Ideally, the price should climb over the monthly R1 at 1.7248 and then seek contact with the upper boundary of the bullish channel, which stands together with the monthly R2 at 1.74.

The distribution between the bullish and bearish SWFX market participants is perfectly the same as yesterday—26% of them expect appreciation of the British Pound and 74% believe in an alternative scenario.