The British pound initially rallied on Thursday, reaching towards the 1.2850 level. We did not make it though, and we have rolled over cents. I believe that the sellers will continue to enter this market, and if Janet Yellen is even remotely hawkish during her speech today, this will absolutely pummel the British pound. I still believe in selling short-term rallies, at least until we break above the 1.2850 level, and even then, I would be a bit skeptical. It certainly looks as if the sellers are in control, and I think that should continue to be the case.
Written by FX Empire