The GBP/USD pair fell initially during the session on Monday, but found enough support near the 1.71 level to go ahead and balance to form a hammer like candle. This suggests that this market should continue higher, probably heading to our ultimate target of 1.75 given enough time. We think the pullbacks will continue to be buying opportunities, and that being the case the markets cannot be sold in our opinion as the British economy continues to look like it’s ready to exit recessionary terms, and as a result the British pound should continue to strengthen overall.
