Perky pound enjoys the ride but sellers lurking again

20 June 2016, 07:36
Sherif Hasan

The pound has rallied strongly since Friday as Brexit fears subside 20 June

Strong rally since the move began late in NY as a combination of poll results and general sentiment emanating from the tragic murder of Jo Cox has lent itself to some short covering.

GBPUSD has posted 1.4623 so far but there's offers/resistance again between 1.4630-60, levels that held at the beginning of June before the move down to test 1.4000. More offers/res into 1.4700 while demand should now come in at 1.4550 and there's plenty of gaps to fill on the way down

Caution is of course advised this week and we we'll see big moves leading up to the vote on Thursday followed by extreme moves after.  There will be opportunity but it will be important to see the wood for the trees.This is no time to be hitting and hoping.

Time to wheel out the old mantra: If in doubt keep the **** out!

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