If it’s risky, sell it. That’s the theme today as cable slides to the 1.6000 area, EUR/USD dips into the 1.3840s and AUD/USD falls back toward 0.7750 (where a barrier is rumored).
Don’t look for sovereigns to catch any falling knives today. They may opportunistically defend a barrier here or there, but I would expect them to be happier to buy EUR/USD, GBP and the like on the way back up rather than try and draw a line in the sand.
Very good bids are said to be down at 1.5900 in cable, if it is any consolation.