GBP/USD takes a crack at the down-trend
"We sell GBP/USD at 1.4450, stop 1.4610. Even if the polls break toward more clearly toward "Bremain" ahead of the 23 June referendum it's hard to see GBP forcefully unwinding its Brexit premium until the certainty of the vote is out of the way."
- Westpac (based on FXStreet)
Pair's Outlook
The Cable edged higher on Tuesday, but with gains being limited due to mixed fundamental data results and the four-week down-trend playing its part. There is no room for another rally today, unless supply at the mentioned resistance line is insufficient to cause the GBP/USD currency pair to make a U-turn. In case bears take over the market, we should see a decline towards second support area, namely the weekly PP at 1.4151. On the other hand, a failure to push the pair lower will result in a retake of the 1.43 psychological level, despite it being bolstered by the weekly R1. The second resistance, however, lies out of reach around 1.4480.
Traders' Sentiment
Market sentiment remains bullish at 61%, compared to 64% previously. The share of purchase orders inched up from 58 to 60%.
- Westpac (based on FXStreet)
Pair's Outlook
The Cable edged higher on Tuesday, but with gains being limited due to mixed fundamental data results and the four-week down-trend playing its part. There is no room for another rally today, unless supply at the mentioned resistance line is insufficient to cause the GBP/USD currency pair to make a U-turn. In case bears take over the market, we should see a decline towards second support area, namely the weekly PP at 1.4151. On the other hand, a failure to push the pair lower will result in a retake of the 1.43 psychological level, despite it being bolstered by the weekly R1. The second resistance, however, lies out of reach around 1.4480.
Traders' Sentiment
Market sentiment remains bullish at 61%, compared to 64% previously. The share of purchase orders inched up from 58 to 60%.