Cable: Still think we could see 1.6250/1.6300 on a spike
Comments from the Bank of England governor, Mark Carney (Reuters story), saw the GBP spike higher across the board. The trend remains bullish and although momentum has been waning, I still believe that we can reach my target at 1.6250/1.6300 in cable before any extended consolidation/retracement begins. Some of the banks are starting to report GBP longs at quite significant levels so I will definitely book profits on any exhaustive spikes.
I remain bearish EUR/GBP and am considering shorting EUR/USD if/when cable gets extremely overbought. No firm levels in mind just yet, best to wait and see.