Pound feeling some further love after earlier retreat

20 June 2016, 11:05
Sherif Hasan

Pound buyers prevailing as European trading unfolds 20 June 2016

Highs now of 1.4672 for cable after a test of the 1.4550 support/area that I highlighted earlier. More layers of offers/res into 1.4680-1.4700/20 with stops above if breached.

EURGBP has broken down through the 0.7750 but stopped at the next layers of bids around 0.7730.

Still expecting good two-way business, and caution very much again advised. There's two basic plays now as I see it.

1) Job your socks off all session and keep your trading discipline tight. Don't get greedy.

2) Take a view into Thursday's referendum with wider parameters.

Either way this is no time to lose your head, or indeed your hard-earned winnings. Whatever the UK decides on Thursday there will be enough opportunities if you decide to sit on your hands right now on GBP trades.

GBPUSD currently 1.4653. EURGBP 0.7748

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