© Dukascopy Bank SA
"In the short-run, we are looking for a range breakout between 1.5815 (pivot) and 1.5373 (daily neckline) as the breakout of this range will provide early indications where to head next."
- JPMorgan (based on FX Street)
Pair's Outlook
The Cable failed to appreciate yesterday, but 20 and 55-day SMAs still prevented the pair from edging lower. The support remains strong and is expected to cause the Sterling to finally rebound today. The immediate resistance cluster, namely the weekly and monthly PPs, are unlikely to prevent the Pound from surging. Thus, the 1.56 should be easily retaken, while a hike to 1.57 is also possible if the fundamental data provides a sufficient boost. Meanwhile, technical studies are giving mixed signals.
Traders' Sentiment
Bullish traders' sentiment returned to its Monday's level of 52%, compared to 55% yesterday. The share of buy commands, on the other hand, increased to 55%, up from 53%.
© Dukascopy Bank SA