Can the Cable sustain this level?

[pristen]

The Cable is at a 15 year high. That is pretty unbelievable. Do you think it will sustain this level or do you think it will cave and move back down? It doesn't look like the dollar is gonna make any moves soon so my guess is that the Cable will probably stay put or even move higher. Thoughts?

[skylar]

I was thinking the same thing. I don't see any reason why it would go down except if traders start to take profit. Fundamentally, the dollar looks weak so either the Cable will stay put or if the GBP has good news, it could even rise some more agains the weak buck.

[topchess]

There is no such like unbelieveable in Forex market, I was thinking that until I was proved wrong.

Cable is approaching a psychological and weekly resistance at 2.0 USD level. I doubt that we will see any dramatic breach of that level. Or lets say it will be that level to have some agressive profit taking and potentially offers (speech from UK about a high sterling.. who knows) unless interest rate outlook for UK or US changes futher.

Things remain very dollar bearish. but at some point, a US Dollar will be oversold and a meaningful correction will be underway.

[4xfanatic]

I agree with Topchess. While the fundamentals are very bearish for the dollar, the London officials aren't going to want the Pound to get too high. I think they might do some "verbal" intervening in order to bring it down.