The daily chart for December British pound futures (B6Z26) shows that prices are trending down and have just hit a three-month low. Bears have the near-term technical advantage as the trend is their friend.
Fundamentally, a tighter U.S. monetary policy from the Federal Reserve has made the U.S. dollar index very strong in the foreign exchange market. The Fed raised interest rates recently and is expected to raise again before the end of the year. Meanwhile, the U.S. economy remains resilient, as seen by recent data.
