The pound has fallen back from the sharp spike but jury still out 7 June 2016
The earlier, still unexplained, hike in the pound saw cable post 1.4660 from 1.4480 and has now been back down to test 1.4500 again before finding a few buyers.
1.4480-1.4500 now becomes the line in the sand with any intra-day traders who managed to get short on the spike happy to count their luck, as indeed the wobbly longs will have been grateful for the opportunity to unload.
EURGBP found support at 0.7750 again before rebounding to 0.7825
Still no definitive explanation but it appears to be more than just a buy order triggered in thin liquidity. I'll keep on the case and report back if I hear anything.
