GBP/USD (current price: 1.4600)
The Pound is up by 600 pips compared to the U.S. Dollar since the low of Thursday, as the odds of the British exit from the EU are down to 25% according to recent polls. Cable exploded higher this morning by more than 2%, and it’s now trading close to its recent highs near 1.465. The pair will probably remain volatile this week as traders will continue to evaluate the possible outcomes of the referendum that is scheduled to Thursday.
Our assessment: Cable’s short-term movements are hard to predict due o the increased volatility, but further upside is possible if the current trends continue in the polls regarding the Brexit vote.
