It's all roses and chocolates in the on/off love affair with the pound
There's been no middle ground with Her Majesty's quid lately. It's either steaming higher or being pounded lower
The AB Inbev takeover of SAB Miller has been in the news again this morning as details of a raised bid came out earlier today. That bid of 42.15 was rasied after a bid of 42.00 was rejected on Monday. That's largely the reason for the bid in it today. The second kick higher has come from the industrial production number coming out strongly
So through 1.5300 we've gone to a high of 1.5311 and we have the 200 dma just above at 1.5321. That's going to be a big target for some
GBPUSD daily chart
Closer to the action below look for support to start coming in around 1.5285/90 then 1.5265/75 & 1.5255/60. Stronger support should show itself around between 1.5235/45
If the latest AB offer gets rejected swiftly then that might take a lot of the wind out of the sails of this rally