Option barriers at 1.5500 are well and truly broken and the GBP has a definite bullish feel to it. I’d prefer to trade this view on the crosses, perhaps long GBP/CHF or long GBP/AUD, rather than straight cable which will run into strong technical resistance at 1.5580. The market has been almost unanimously bearish GBP over the last 6 months and it could definitely rise by another 5-7% before all the shorts get squeezed out.
