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Pound surges on renewed hopes of Brexit deal

No smoke without fire, markets have been saying lately, re the upbeat Brexit comments, albeit with denials, and yesterday's Barnier statement that an agreement is realistic in the next 6-8 weeks sent the Pound sharply higher once again.

GBPUSD rallied from 1.2950 to 1.3010 in a flash then headed higher to test 1.3050 before retreating. Buyers were lining up at 1.3020 though and this morning we've already seen the 1.3050 resistance area broken to post 1.3088 in a rush.Sellers still poised around 1.3100 then 1.3120 and 1.3150. Immediate demand building now around 1.3050 then 1.3020 and 1.3000. I've been advising caution on short positions lately even if it has been a rewarding play still but these latest comments should underpin GBP for the moment. Sellers still stand poised though.

EURGBP has fallen to post 0.8890 (GBPEUR up to 1.1250) but found a few buyers down there as I higlighted on Friday. Sellers now poised between 0.8910-20 then 0.8930 and 0.8950 with larger between 0.8980-00.Immediate demand around 0.8885-90 still then 0.8850, 0.8820 and 0.8800

EURUSD remains underpinned but still failing to breach 1.1660 but buyers still lined up between 1.1580-1600.Some immediate demand around 1.1620 then 1.1600 and 1.1580, with sellers still into 1.1660, 1.1680 and 1.1700.

USDJPY has had a better time of it having held decent lines around 110.30 last week and has now rallied strongly to post 111.55 on better risk sentiment and GBPJPY demsnd. USDCHF has also found dip demand again and been up to 0.9760 with EURCHF also rallying to post 1.1344 having found support around 1.1200. Dip demand still expected but sellers remain poised into 1.1360 and between 1.1380-00,with USDCHF sell interest at 0.9760 and 0.9780

AUDUSD continues to look vulnerable with AUDJPY a key driver lower. Some sell interest now around 0.7130 then 0.7160-65 and 0.7180 still. Buyers around 0.7100 then 0.7080-85 and 0.7050. USDCAD has failed around 1.3200 again and now trading on lows of 1.3135 as I type. Buyers still into 1.3100 then 1.3080 and 1.3050.Sellers around 1.3160 again then 1.3185 and into 1.3200 still.

Fickle Forex markets ever prevailing, so get your orders in to take full advantage of these moves. Yesterday's sharp price action in GBP were a classic example once again.

The cricket Test Match versus India at The Oval duly saw all-time highest English run scorer Alastair Cook sign off yesterday with a wonderful 147. I'll be heading back up there today as he takes his final bow with Jimmy needing just 1 victim to become the record fast-bowling wicket taker.Should be quite an occasion again.

Have a good day out there one and all.

Interbank Rate 08.20 BST GBPUSD   1.3075 EURUSD   1.1638 EURGBP   0.8900 GBPEUR   1.1233 USDJPY   111.48 USDCAD   1.3134 USDCHF   0.9736 GBPAUD   1.8347 GBPCAD   1.7174 GBPCHF   1.2733 GBPZAR   19.7218 GBPHKD   10.1370 EURHKD   9.0243


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