- Trader at a Japanese bank (based on Reuters)
The British Pound remained flat against the US Dollar on Tuesday, with the Cable rising only three pips higher. Nonetheless, the GBP/USD has already reached the expected target early today, namely the cluster around 1.5185. Strong UK fundamentals should boost the Sterling enough to pierce the cluster and stretch out to around 1.5250. On the other hand, in case the market movers are not in favour of the GBP, a fall beyond the immediate support is possible, with the 1.50 psychological level acting as the ground floor.
Bears are dominating the market with 60% of traders being short the Sterling. The portion of sell commands gained four more percentage points. The orders now account for 64% of the market.