It is totally about the Brexit significant vote tomorrow for the pound
The pound is softer to begin the day as traders are bracing themselves for a crunch vote in Westminster tomorrow – yes, on a Saturday!
Boris Johnson’s Brexit deal will be put to the test and the pound’s beliefs all stay on the outcome of the vote tomorrow as such.
Other major currencies are not doing much as the dollar holds steady and the risk mood remains and cautious/indecisive towards the end of the week.
That said, the kiwi is finding a joined tailwind as NZD/USD hits a one-month high with buyers now eyeing the 0.6400 handle after breaching shield around 0.6350-55.
Seeming ahead, it’s all about the pound as we near the weekend so be mindful of some potential profit-taking in pound longs over the week as traders will see to square positions before the key risk event tomorrow.