Cable is taking the worst of it

We're at the point where dollar bears are rushing to the exits.

Stops are being run at the moment in EUR/USD and USD/JPY as both break to new extremes.

The dollar rally today comes despite a drop in Treasury yields. US 10s are now down 3 bps on the day to 1.506% so you can't point in that direction.

I continue to look a the calendar but it might be better to be looking at the charts. With the break of that double bottom in cable, there isn't much support to cling to.

Cable is taking the worst of it

The euro is also at the lows of the year and having a look at the support from last autumn. If that cracks we could be looking at a real breakdown.

EURUSD

I can't exactly match up the fundamentals to what we're seeing here but there's no denying what's happening on these charts.