The latest COT report (Commitments of Traders). Weekly prospects for GBP/USD

The latest COT report (Commitments of Traders on 06/30/20.) showed an increase in open interest in the pound (186.144 against 170.455). All major players during the reporting period managed to increase their positions. On the other hand, Non-Commercial group actively increased short positions (long 4,770 and short 7,244), while the Commercial group increased long positions (long 10,961 and short 4,961). As a result, according to the results of the report, the players for promotion have a certain advantage.

Main conclusion

The pause indicated during the development of the decline is likely to persist. This week, players to increase will seek to maintain their position.

Technical picture

It was previously noted that the development of the bearish mood very much depends on overcoming or not overcoming the important supports in the area of 1.2300 (daily cloud + weekly Kijun). Now, we see that the support data managed to stop a further decline and the players to lower had to set a minimum (1.2251). Slowing down dragged on and is likely to continue in the coming days. In this situation, the nearest resistances are 1.2531 (daily Kijun) and 1.2736 (lower boundary of the weekly cloud). A consolidation above will contribute to further strengthening and may turn the last minimum (1.2251) into a minimum of the current correctional movement. Breaking through the support in the area (1.2300) will allow us to continue the decline.

There is now a struggle for advantages on the lower time frames. The key level is the weekly long term trend (1.2454) remains on the side of the players to increase. The breakdown of the moving and its reversal can change the balance of forces and contribute to the further strengthening of the bears. Support for the classic pivot levels are located today at 1.2460 - 1.2432 - 1.2402, while resistances are at 1.2518 - 1.2548 - 1.2576.

Ichimoku Kinko Hyo (9.26.52), Pivot Points (classic), Moving Average (120)