A little bit of will we, won’t we action around 1.5350 on whether to continue the rally or fade. The decision is to continue as we hit a high of 1.5378.
I was a little sceptical about the falls last week and wondered if they were the result of the flows in EUR/GBP and to some extent I think were.
We’re 70 odd pips from the 25 July high at 1.5431 and that will be the first minor target on a continuation higher.
I’m still going to look at 1.50-1.54/55 as the summer range but may look for 1.55 as the safer bet, particularly around the 200 dma and Jan trendline at 1.5550/60.
One thing at a time though and we’ll see how we do at 1.5400 first.