GBPUSD sellers try to take more control in up and down day

The pattern of late in the GBPUSD GBP/USD The GBP/USD is the currency pair encompassing the United Kingdom’s currency, the British pound sterling (symbol £, code GBP), and the dollar of the United States of America (symbol $, code USD). The pair’s rate indicates how many US dollars are needed in order to purchase one British pound. For example, when the GBP/USD is trading at 1.5000, it means 1 pound is equivalent to 1.5 dollars. The GBP/USD is the fourth most traded currency pair on the forex exchange market, giving it ample liquidity a The GBP/USD is the currency pair encompassing the United Kingdom’s currency, the British pound sterling (symbol £, code GBP), and the dollar of the United States of America (symbol $, code USD). The pair’s rate indicates how many US dollars are needed in order to purchase one British pound. For example, when the GBP/USD is trading at 1.5000, it means 1 pound is equivalent to 1.5 dollars. The GBP/USD is the fourth most traded currency pair on the forex exchange market, giving it ample liquidity a Read this Term is that the moves above the 100 hour MA have FAILED. That gives the sellers more control as long as the price can remain below that MA level.

When looking at the 4-hour chart, the last move higher on Friday also tested a key 200 bar MA and found willing sellers. That MA will also be a key level going forward.

On the downside lows from last week are the next targets followed by a swing area between 1.2343 and 1.2365.

UK inflation Inflation Inflation is defined as a quantitative measure of the rate in which the average price level of goods and services in an economy or country increases over a period of time. It is the rise in the general level of prices where a given currency effectively buys less than it did in prior periods.In terms of assessing the strength or currencies, and by extension foreign exchange, inflation or measures of it are extremely influential. Inflation stems from the overall creation of money. This money is m Inflation is defined as a quantitative measure of the rate in which the average price level of goods and services in an economy or country increases over a period of time. It is the rise in the general level of prices where a given currency effectively buys less than it did in prior periods.In terms of assessing the strength or currencies, and by extension foreign exchange, inflation or measures of it are extremely influential. Inflation stems from the overall creation of money. This money is m Read this Term will be reported on Wednesday. If it is lower than expectations, it could lead to a dovish turn in Bank of England's interest rate expectations, negatively impacting the sterling. The annualized UK Consumer Price Index (CPI) is predicted to decrease to 8.3% from March's 10.1%, based on a Reuters poll.

Presently, money markets foresee an 80% likelihood of the Bank of England raising interest rates by 25 basis points to 4.75% in June, and a 79% chance of a 5% Bank Rate by September.

Last Friday's CFTC data displayed that the net GBP long position held by IMM speculators reached an 18-month high during the week ending May 16, a period which saw GBP/USD reach a 54-week high of 1.2679 following softer than anticipated U.S. CPI data on May 10. IMM speculators have maintained a net GBP long position since mid-April. If the balance of positions gets too offsides, it can lead to move in the opposite direction if the data does not support the net position.

With the positions at 18 month highs and the position is long (buyers), the risk is more to the downside.