Pound tries to base after May induced dump – 1.2865/75 is the important level to watch

We’re in the midst of a big moment for the pound after PM May takes the Brexit gloves off
There’s nothing like the smell of blood to start the week and it’s the pound that’s bleeding. May’s news is a shock purely because of her single market comments. For the negotiations, it’s a very very strong comment that tells Europe that we won’t be threatened by them dangling the threat of losing access to the single market. It’s political brinkmanship at it’s finest, though whether it pays off is the big question. That’s for the future but for now, the market sees it as a negative for the UK financial industry and as that’s where all the big bucks are, a negative for the UK.