The Cable took a pause from a strong two-day decline yesterday, stabilizing just above the 55-day SMA. Nevertheless, there is still some room for the sell-off to extend to the key support area at 1.4360/30, where the currency pair is in turn expected to turn around and begin to recover. However, if the price closes below 1.4360/30, this will mean that GBP/USD broke the neckline of the double top pattern and that the exchange rate will most likely descend down to the April's lows at 1.4150.
Despite Sterling's proximity to a major resistance area between 1.4750 and 1.48 dollars, the market is undecided with respect to the currency's future: 54% of traders are long and 46% are short. The same is with the orders, 49% of which are buy and 51% are sell.