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The cable is trying to reach the 1.50-mark. This level was previously reached during the end of the previous year. The overall trend is bullish, as the Sterling has been climbing higher versus the greenback since beginning of May. Therefore, the re-test of 1.50 was only a matter of time. Despite the relatively weak note, on which the new trading week was started, the Cable was able to jump to its record highs. The general reason for that was poll results and comments regarding possible Brexit in June. Polls' results showed that the mood of British voters in the run up to the UK's referendum on whether or not to remain in the European Union had swung toward remaining in the union. Moreover, addition impetus for Sterling's increase was produced by Office for National Statistics. The second estimate of the UK Q1 GDP stayed at 0.4% quarter-on-quarter, while the yearly change slowed to 2.0% from 2.1% booked in the first estimate. Eventually on Friday, the pair was relative calm, preparing for the banking holidays in the UK and US.
Dukascopy traders expect the pair to strengthen some of the earlier made gains. The consensus forecast stands for 1.46-mark. The instrument will be highly volatile on Thursday and Friday, as policymakers will gather to assess the current state of the domestic economy. On Wednesday, the UK is to release data on manufacturing activity while the US, in turn, report on manufacturing activity. Meanwhile, on Thursday, BoE Governor is going to have a speech while the US is to round up the week with the closely watched report on nonfarm payrolls.
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