- CIBC (based on Pound Sterling Live)
GBP/USD moved even closer towards 1.4340/1.4290 yesterday, and a test of this demand area, created by the 100-day SMA, up-trend and monthly S1, will be a strong bullish sign for June. Meanwhile, the immediate support is at 1.44, implied by the 55-day SMA, and it is seen as able to push the price back towards the weekly S1. As for the longerterm perspective, also considering the monthly technical indicators, the Cable should bounce off of 1.48 and thus resume its descent from 1.72 dollars started back in the third quarter of 2014.
The gap between the bulls and bears remains insignificant, merely six percentage points. A similar situation is observed with the orders set closest to the spot—51% of them are to buy and 49% are to sell the Sterling.