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GBP/USD Slippage Alongside Light Volumes Exposes Next Support

GBP
  • USD Index's third consecutive session of gains is failing to prompt any sustained pick up in volumes in GBP or others.
  • GBP/USD's slippage to new lows comes alongside Z3 GBP futures seeing ~17k contracts trade, around 20% below what you'd expect to see at this point of the session. A close at current or lower levels would secure a finish below the 50-dma, proving Friday's rally in the pair as corrective in nature, and would work in favour of a resumption of a medium-term downtrend.
  • 1.2185 marks next support in focus, with markets shrugging off the speech from Bailey as non-monpol related (and no Q&A).

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