My expectations regarding a return for the pound to the LB didn’t come true. Due to a growth on the euro/pound cross, the UK pound fell to the D3 (1.5329). Only now is it starting to show signs of a recovery.
The current rate is 1.5408. It’s gone up fast. On the forecast I set the first half of the day with growth due to a correction on the euro/pound and Bank of England outcome expectations. Taking into account that the Bank of England’s monetary policy hasn’t changed for a while now, the pound usually grows moderately before the central bank convenes. As a result of the cross, the growth could be stronger.
I’ve kept the target at 1.5350 for the next two days. Yesterday the pound dropped to the 1.5329 support. They took the target and now the pound could switch to a correctional phase for a couple of days. Due to the time of the week, I reckon it will head for 1.5169 later.
Recently the pound/dollar has fallen to the calculated level. Now we need to ready ourselves for a two-day flat. Then we will see how Sunday’s EU Greek summit ends. On Monday I’ll already be calculating the new price levels. For now, the closest price level is 1.5169.