![\"gbpjpy](\"http:\/\/www.laidtrades.com\/wp-content\/uploads\/2010\/06\/060810gbpjpy.png\")
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Here\u2019s an update\u00a0on the guppy (GBPJPY<\/a>). In my last post<\/a> about the pair, I noted that it could find some resistance at the\u00a061.8%\u00a0Fibonacci retracement level\u00a0that I marked on its old chart. It, however, surpassed that\u00a0price (135.00) and reached 136.00 before turning around. When I readjusted my swing high\u00a0to April 26\u2019s high,\u00a0I noticed that the 136.00 price then\u00a0fell in line with the 50% Fib of the new retracements.\u00a0At present, the pair already broke below the 132.00 support. If\u00a0it successfully clears 131.00, it could very well revisit its 2010 low once more. Though, in my view, this level could be broken any time soon since the stochastics are still far from the oversold region. Otherwise, it could trade for awhile within a range before swinging in either direction.<\/p>\n Perhaps we all know now the reason behind the recent beating that the pound received. Well, for those who do not know, the sterling pound got pounded late Friday night when Hungarian officials commented on a possibility of a sovereign debt default. This news, to nobody\u2019s suprise, sparked some risk aversion in the markets which was further intensified\u00a0when the latest US NFP report\u00a0printed a weaken than projected employment change.<\/p>\n For the coming days, in my\u00a0view,\u00a0the pound would be more sensitive to the developments in the euro zone rather than\u00a0from the UK itself. Though, if\u00a0the\u00a0BOE\u2019s decides to keep its asset purchase facility and interest rate unchanged, it\u00a0could then add to the\u00a0pound\u2019s already weakened state. The Bank of England\u2019s monetary policy decision, by the way, will be held on Thursday (June 10). So stay tune!<\/p>\n