GBP/USD, August 4, 10 am UK Time

Cable was stalling at 1.596 a few times through yesterday’s US session and Asia. This morning, we saw another, unsuccessful, attempt at 1.596. A weaker than expected PMI has sent cable down to 1.5890 but it seems to recover a bit. Slowly, the bulls seem to lose control of the situation and if we see a GDP number re-vised to the downside and some more sluggish numbers, we will see the long expected pullback.