GBP/USD extends recovery from up-trend support
Pair’s Outlook
As it turned out, GBP/USD did not have to undergo a deep bearish correction in order to climb over the weekly PP. Now the currency pair is free to move even higher. The immediate resistance is represented by the 20-day SMA at 1.6857, but there are no tough supply areas until 1.70. There, apart from the 2009 highs, the monthly R1 and weekly R2 will also try oppose further appreciation of the British Pound.
Traders’ Sentiment
The SWFX market traders stay moderately bearish with respect to the Sterling, since 60% of them are currently holding short positions on GBP/USD. Meanwhile, 50 pips from the spot 67% of orders are to sell the currency against the greenback.
Source: DukascopyBankSA
