Cable: Expect test of 1.6250/60 later today
Obviously talking my book here as usual but all the signs remain bullish for the GBP in my biased view. GBP/JPY and GBP/AUD have made strong technical breaks and once the crosses start heading in one direction, the cable is virtually certain to follow. There is major technical resistance at 1.6250/60 and the market tends to gravitate towards these big levels. A clean break above there will lead to another 200 pip gap higher towards 1.6410/40 and that’s where I would consider booking some short-term profits.