Nick Nasad
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GBP/USD: Pound Tries to Erase Friday's Losses

While the market tries to get its footing following the sharp sell-off in equities and risk on Friday, the Pound has been fairly resilient, managing to undo most of its losses from the previous session.

  • After sliding from a high near 1.6665 down to 1.6475, a move of nearly 190 pips, it has now rebounded to 1.6575, slightly more than 50% retracement.
  • The move picked up steam after a break of resistance at 1.6530, and in early NY trading managed to push above a short-term level at 1.6570.
  • Now it looks to target 1.66, which was the support level that was cracked on Friday.
  • Above that we have 1.6640 and the previous high. Since the GBP/USD is stronger, it has filtered down into other GBP crosses such as GBP/AUD and GBP/NZD.