The pound erases its earlier gains in a quick drop
Cable just quickly fell from 1.3150 to a low of 1.3092 before keeping just above the 1.3100 handle currently. It is a bit of a familiar story with the pound after what we have seen in trading yesterday, as price now eases back below the key hourly moving averages.
That said, there is some support from the overnight low @ 1.3095 and that is helping the pound to stay afloat for the time being.
In the bigger picture, continue to keep an eye on the wedge/triangle pattern here:
A firm breakout from the narrowing pattern may yet trigger a bigger move in the currency pair with a drop below 1.3050 also a key level to watch in the near-term.
