The 61.8 fib of the Feb swing up is at 1.6610 and we’ve pulled up a couple of pips short.

While we’re fibbing we also have the 50.0 fib of the Nov 2013/Jul 2014 lo/hi 100 pips lower at 1.6510

GBP/USD Weekly 19 08 2014

GBP/USD Weekly 19 08 2014

Cable is suffering as the dollar gets a lift across the board. USD/JPY is up to 102.83 and AUD/USd has slunk down to 0.9310.

We’re off nearly 600 pips in the pound in what is looking like a seven week losing run and that’s getting me feeling that the move is overcooked. The problem is that the dollar in general has been pretty laggard on the US fundamentals recently, but if it decides to bust a big move then the pound and euro, amongst others could suffer much more. As always we have to watch both sides of a currency.