© Dukascopy Bank SA
"Whether England's early exit in 2015 will weigh on sales in October thus remains an open question, especially as it is the host. As the BRC survey appeared to capture the rise while others did not, it is likely to attract more attention now, even though its relationship with the ONS data is not strong."
- Nomura (based on FXStreet)
Pair's Outlook
The Sterling tested the resistance area around 1.55 for the seventh consecutive day and, surprisingly, ended up edging lower. The much better-than-expected US Existing Home Sales outweighed the UK's strong Retail Sales figures, causing the pair to edge 22 pips lower under 1.54. The Cable's attempts to return above the major level might be inhibited by the 55-day SMA, which is now the immediate resistance. However, due to lack of market movers today, the GBP/USD risks remaining within the borders of the 55-day SMA and the support at 1.5380, namely the weekly PP.
Traders' Sentiment
Bulls and bears got closer to equilibrium, taking up 51% and 49% of the market, respectively, while 70% of all orders are to sell the GBP.
© Dukascopy Bank SA