GBP crosses continue to look vulnerable

Cable rejected important technical resistance levels between 1.5550/1.5600 pretty categorically and this rejection is starting to have an effect on the other GBP crosses.

EUR/GBP has reached what for many was a long-term target (on the .72 handle) and with the market already very short, profit taking is to be expected.

The large stop-losses in pairs like GBP/CAD which the market had been talking about went off last night and other pairs like GBP/AUD are also looking vulnerable.

Selling short-term rallies in the GBP looks like the most sensible play for now at least.