The Pound is short term technically overbought and it might also be fundamentally challenged if the USnon-farm payroll result is hot. In other words, a much better than expected US result could temporarily challengethe Pound’s supremacy. Another issue contributing to a corrective tone in the Pound is news that UK servicesPMI readings declined overnight. Initial downside targeting in the Pound is seen at 1.7124 if US payrolls are asexpected, but a lower target of 1.7095 is seen if US payrolls are above +220,000.
