GBP/USD drops by almost 200 pips from daily high of 1.6523 - FXStreet

FXStreet (Łódź) - FXStreet Chief Analyst Valeria Bednarik comments that GBP/USD dropped sharply today, retracing recent speculative gains.

Key quotes

"Despite the NO finally won in Scotland, profit taking along with dollar strength had weighted more."

"The short term technical picture shows price struggling around the 50% retracement of this month fall around 1.6345, with indicators well into negative territory and 20 SMA turning south a few pips above the 61.8% retracement of the same rally around 1.6410, offering intraday resistance in case of a recovery."

"The downside however is favored, with a price acceleration below mentioned Fibonacci support probably extending down to 1.6250 price zone."