GBP/USD: Institutions Are Still Short 64,000+ ContractsGBP/USDOANDA:GBPUSDEdgeTradingJourneyGBP/USD is approaching a critical decision point, and while many traders continue to focus on the broader uptrend, I believe the risk is shifting toward a deeper corrective phase. From a positioning perspective, the latest COT report remains one of the strongest bearish arguments for the British Pound. Non-commercial traders are still holding a net short position of more than 64,000 contracts, confirming that institutional money continues to favor GBP weakness over the medium term. While this alone is not a timing tool, it provides an important directional bias when combined with technical structure and seasonality. On the retail side, sentiment remains relatively balanced, with 58% of traders currently short GBP/USD and 42% long. Under normal circumstances, this could support a contrarian bullish view. However, positioning data shows many traders are trapped at higher prices, reducing the value of sentiment as a standalone signal. Seasonality is also becoming increasingly interesting. Although long-term historical data is slightly positive for June, the most recent 2-year, 5-year and 10-year seasonal studies point toward weakness into the second half of the month. This aligns well with the current technical picture. Looking at the weekly chart, GBP/USD appears to be developing a bearish continuation structure after failing to sustain momentum above the 1.3600 area. Price remains below a descending trendline that has consistently capped rallies since the February highs, while recent attempts to push higher have produced progressively weaker reactions. The 1.3600–1.3650 zone remains the key supply area. As long as price trades below this region, I remain cautious on bullish continuation scenarios. The most important level for me this week is 1.3300. A decisive break below this support could expose the broader demand zone between 1.3180 and 1.3230, an area that contains previous institutional accumulation, trendline support and a significant pool of liquidity. If sellers gain enough momentum to break that region as well, the next major downside objective sits around 1.3050. Key Levels: 🔴 Resistance: 1.3500 – 1.3650 🟢 Support: 1.3230 – 1.3180 🎯 Bearish Target: 1.3050