Theresa May resigns. Numerous Conservatives putting themselves up for the main job and it is starting to look like a bit of a ’free for all’. Boris is being taken to court over bus lies (£350 million paid to Europe per week). Is it no surprise that GBP is still on the back foot?
Technically we are still looking for one last drive lower in GBPUSD. Although we did post a Morning Doji Star formation on the daily chart, we have heavy resistance at 1.2690 today. A Fibonacci confluence area is seen at 1.2590-1.2551. Another drive lower will likely highlight some bullish divergence.
EURGBP and we have reverse trend line resistance at 0.8887. We a 161.8% extension level seen at 0.8877, further upside is assessed as being limited. Today's support is located 0.8780.
