Heavy on the sarcasm there by the way.
Have we seen a bottom for the pound or is the USD just pausing before moving once again?
There’s certainly been a few ticks on offer for a fade of the moves but it’s questionable whether the fade has further to go or if that’s it.
We’re hovering around 1.6640 in cable and that’s the likely pair that stands to lose ground once more. In the sterling crosses the gains may hold and we may see them move up further, particularly in the yen and swissy.
GBP/USD punched above the 200 dma briefly at 1.6677 but is back below now. If buyers can drag it above and hold a close then that might add to the case of a bottom being set.
GBP/USD Daily chart 20 08 2014
1.6600 is going to be the battle ground for a move lower.
Up next we have the CBI industrial trends survey and the orders index is expected to rise to 4 from 2. Orders took a big dive in July and so we’ll be hoping that the situation is improved. A further drop may help wipe out the current gains in GBP/USD.
