- Credit Suisse (based on PoundSterlingLive)
Friday ended with the Cable remaining relatively unchanged, suffering a small loss, but unable to fall below the post-referendum low of 1.3230. Technically, the GBP/USD currency pair should now undergo a correction, at least partially erasing previous week's losses, thus, piercing the immediate resistance in face of the weekly PP; however, this might not be the case, since aggregate technical indicators are now giving bearish signals. As a result, the 1.3230 level risks being breached, with focus then shifting to the weekly S1 at 1.3090, the second closest support.
Bulls barely keep outnumbering the bears, as 56% of all open positions are now long (previously 60%). At the same time, the portion of orders to purchase the British Pound increased from 57 to 65%.