GBP USD touched a near one-month high of 1.2274 yesterday after French President Emmanuel Macron followed in German Chancellor Angela Merkel’s steps and suggested that a Brexit deal could be done before October 31. Sterling jumped by over one-and-a-half cents against the US dollar as short-covering pushed the pair sharply higher. This is the second time this week that Sterling has jumped by around 100 pips on just a suggestion that a Brexit deal may be done, indicating that the market is short of Sterling and stop-losses are getting filled. Last week’s CoT report showed that speculative traders remain heavily short of Sterling although the number was marginally lower than the week before.
Disclaimer: The views expressed are solely those of the author and do not represent the official position of Followme. Followme does not take responsibility for the accuracy, completeness, or reliability of the information provided and is not liable for any actions taken based on the content, unless explicitly stated in writing.
Leave Your Message Now