GBPUSD was about to retrace higher at 1.62800 after a long period of decline but finally hit hard by the Scottish independence poll over the weekend. The Pound opened the week with heavy gap down to 1.62400 and continued to move down lower then closed the day at 1.6100, almost 200 pips loss for just a day.
Although the referendum will be held on 18 September but the market has already priced in due to uncertainty affect to the Pound. GBPUSD will be under heavy bearish pressure from now to 18 and it may move down to 1.58500 as well.
Forex Trading Signal:
We will watch for signals to short GBPUSD at 1.61100 – 1.61600 today before BoE Governor speech.