British Pound Forecast to Fall Further versus Dollar
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GBPUSD – Our retail forex trader data shows that the majority remain long the British Pound versus the US Dollar, and a contrarian view of crowd sentiment points to further GBP/USD weakness.
Indeed the number of retail open long positions outnumbers those short by a sizable 1.9 to 1; 65% of open positions are long. The majority of traders has remained long since the pair traded near $1.58 in August, and as long as this remains the case we will continue to watch for GBP/USD weakness.
See next currency section: USDCAD - US Dollar in Position to Gain versus Canadian Dollar
--- Written by David Rodriguez, Quantitative Strategist for DailyFX.com
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DailyFX provides forex news and technical analysis on the trends that influence the global currency markets.