Cable (currently 1.3175): Looking for buying opportunities
The short-term trend remains bearish but I feel that momentum is starting to wane and some short-sterling positioning may have gotten ahead of itself. There are a lot of trading sessions between now and October and many of the shorts will not have the patience to hang on.
EUR/GBP is stuck in a broad .86/.89 holding pattern and even though GBP/JPY does look particularly susceptible to sharp drops on those risk-off days, I still feel that we are more likely to see some wide-ish range trading there.
I hear that there might be other barriers nearby, just like there was at 1.3200, and I will play from the long side for now. Initial hourly support is at 1.3150.