Sterling’s rally is accelerating today with sentiment lifted by the Windsor Framework as agreed between the UK and EU regarding the handling of Ireland/Northern Ireland.
GBP/CHF’s rise from 1.1072 accelerated to as high as 1.1353 so far. Further rally is expected as long as 1.1243 support holds, to 1.1433 resistance next.
Current development is also inline with the view that the sideway consolidation pattern from 1.1574 has completed at 1.1072. That is, rise from 1.0183 is ready to resume. Firm break of 1.1143 will add to this bullish case, and send GBP/CHF through 1.1574 key resistance. In this case, next target will be 61.8% projection of 1.0183 to 1.1574 from 1.1072 at 1.1932.
