- Danske Bank (based on FXStreet)
The Cable behaved according to the forecast yesterday, as it managed to stabilise above 1.56 major level. However, the weekly R1 was not reached and will doubtfully be taken today, as a correction is expected. The support cluster around 1.5545 could limit the losses, while a drop further below towards the support trend-line is more likely. Furthermore, there is a chance of the trend-line being breached, which would result in the Sterling falling below 1.55. Meanwhile, technical studies retain their mixed signals, unable to confirm the bearish outcome.
Bulls and bears have reached a perfect equilibrium today, whereas the number of buy orders declined from 55 to 53%.