Two Hawkish Central Banks and Clean Technicals
-BOE and the Fed are the most hawkish central banks right now. Going long euro is tempting but having a dovish ECB makes that a weaker fundamental play. Most importantly, there is serious speculation between whether the Fed really will raise rates or if QE4 is coming. In my view this indicates an over sell-off of the Pound has occured and it's time for some ranging price action.
-The US Dollar will likely experience a pullback from a major resistance level and little in the form of catalysts in the coming 24 hours.
-The Cable has great technical support at this level with a rising support trendline meeting a shorter term support level that has been in place since June.
-Conservative TPs at the 400 EMA (White) because of a potential reversal and a continuation of an EMA downtrend.
-The US Dollar will likely experience a pullback from a major resistance level and little in the form of catalysts in the coming 24 hours.
-The Cable has great technical support at this level with a rising support trendline meeting a shorter term support level that has been in place since June.
-Conservative TPs at the 400 EMA (White) because of a potential reversal and a continuation of an EMA downtrend.