As you know I’m long, I’m bullish and I’m biased, which all might explain my extra bullishness this morning.
- EUR/GBP has stalled at weekly trendline resistance near .8750 and this pair is, in my view, still in consolidation mode around a mid-point of .8500ish. In other words I think the cross can easily fall a few hundred pips.
- Cable has broken back above 1.6270 and this level should now provide intraday support
- China has been quiet across most markets but has still been buying dips in cable
Once cable really starts to move it will, as always, be sharp and unforgiving. I’m looking for an acceleration of the bull move now with intermediate targets at 1.6500,1.6900 and ultimately 1.7300.