GBP/USD continues to strengthen, another 100 pips spike in Asia

Strength is currently being seen in Cable, trading just below USD 1.43 after another 100 pips spike, which follows a recovery from all the way down off 1.40 round number earlier on Thursday, in what has been a wild ride not for the faint-hearted.

Sad news behind GBP pop

The renewed strength follows news of the killing of Jo Cox on Thursday, a pro-EU member of the British Parliament, which has fueled specualtion that those undecided on the EU membership referendum will now err on the side of caution and vote to 'stay'. There were even 'rumours' that the Brexit vote may be either canceled or delayed, a scenario hard to believe.

GBP/USD outlook

Valeria Bednarik, Chief Analyst at FXStreet, notes: " The pair holds near a fresh 3-day high of 14253, and the technical bias is bullish, according to the 4 hours chart, as the technical indicators head north above their mid-lines, whilst the price is now above a mild bearish 20 SMA. Still, wild swings are still expected, and extreme caution is recommended when trading Pound crosses. "