Sterling overtakes Yen as the strongest major currency for today for now. Renewed buying emerges as UK Prime Minster Theresa May delivers her uninspiring statement in the Commons.
Technically, GBP/USD hits as high as 1.2930 so far. Rebound from 1.2391 is on track to 1.3174 resistance, which is close to 38.2% retracement of 1.4376 to 1.2391 at 1.3149.
EUR/GBP dives to as low as 0.8875. We now consider 0.8927 support firmly broken. And EUR/GBP is on track to 61.8% retracement of 0.8655 to 0.9101 at 0.8825 and below.
GBP/JPY, however, despite breaching 139.88 resistance to 140.05, it couldn’t sustain above this resistance yet. We’ll holding on to the expectation that upside of the rebound from 131.51 should be limited by 139.88 and bring reversal. Break of 137.35 minor support will turn bias to the downside for 131.51.
