As I expected, the pound/dollar passed the balance line on Monday. The pound corrected to 45 degrees in Asia and was trading around 1.5318 at 8:56 EET (minimum: 1.5301). Today will see UK inflation figures out and the rate could start swinging during the following 30 minutes after the figures come out. For Tuesday I’m expecting a growth from the 1.5301 minimum to 1.5368/70.
The pound/dollar is consolidating at 1.5340 in a 100 point range. The 1.55 target as part of a W-shape pattern is still on. A fall lower than 1.5260 will see the target drop to 1.5413.
The pair is holding the road to 1.55. The buyers can’t do anything to lift the pound.