Despite its strength over the last month, the pound was no match for the US dollar’s powerful rally on Thursday. It was always going to be a difficult ask for the pair to break through 1.5550 at the first time of asking, with it previously being a strong support level and the 100-day SMA providing additional resistance. That doesn’t necessarily mean the rally in this pair has come to an abrupt end though, rather it may just be taking a breather. The bearish engulfing pattern on the daily chart would certainly suggest that the next few trading sessions may favour the dollar but beyond that there may still be some ... (full story)