The pound is trading near the highest levels of the month. It catapulted higher on the soft US durable goods orders data but has stayed high while other pairs retraced.
Cable has posted an inverted head and shoulders pattern on the hourly chart and buying support is kicking in ahead of the neckline.
cable hourly
The measured target of the move is around 1.6550 so the upside is substantial if it takes. The caveat is that the Oct 21 high of 1.6184 is still holding and I don’t think there’s a case to buy it until that breaks (and probably 1.6227 too).
