Cable falls to a low of 1.2963 on the day
Price now moves towards a test of yesterday's lows close to 1.2940. Theresa May is also speaking right now as she addresses the rest of her Conservative party but there isn't anything from her speech there to suggest much change to the Brexit rhetoric so far.
Right now, it's all about the dollar move with EUR/USD also falling to near the day's lows at 1.1543. AUD/USD and NZD/USD have also fallen to lows of 0.7145 and 0.6555 respectively.
As for cable itself, watch out for that daily support from the 19 July low @ 1.2958. If sellers can find a close below that and move below 1.2940, expect a further downside momentum to come in the pair barring any Brexit surprises.
It's going to be a tough two months for the pound as May tries to navigate through finding a way to strike a Brexit deal. Domestically, it remains to be seen if she can gather enough support from her own party. With the EU, she faces struggles as they're not willing to accept Chequers and she has to front alternative proposals - which are likely to be shot down since she won't deviate much from the original plans. And with the DUP, she's starting to lose their support too if she chooses to make concessions on the Irish border to try and satisfy the EU.
