- Prevalent political uncertainty and economic implication of UK's decision to leave the European Union is likely to restrict any swift recovery for the British Pound.
- UK PM David Cameron is set to meet other EU leaders later today and markets would await for further comments from the second day of the EU council meeting.
- Investors focus will remain on news flow and developments surrounding the referendum while they confront the release of German prelim CPI print for the month of June.
- Tuesday's corrective move was short-lived, pair rejected at highs to close below the 0.83 handle.
- A consolidation phase likely before the pair resumes its near-term upward trajectory.
- Techs on weekly charts are heavily bullish, Stoch RSI and MACD show scope for further upside.
- Supports are seen at 0.8176 (June 27th low) and then 0.81. While on the upside resistance is located at 0.8330 ((converging trendlines), 0.84 and 0.8440 (high for the week ending Dec 9th).
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