Like other currencies, the Pound is oversold relative to the Dollar and in need of a technical balancing recovery. However, the looming Scottish vote is set to limit the recovery effort, as the polls seem to suggest thatindependence is likely. With the Pound into the recent highs pegged as one of the strongest economic zones andthe UK thought to be on the cusp of hiking interest rates the bull camp was free to puff up the Pound. With thethreat of breakup high and the world fretting over the prospect of Chinese slowing, the Pound bulls have anumber of issues working against them. There is an old gap up at 1.6275 and those looking to get short on thisbounce, might use that level as a stop point.
