Those that view the message of the market on daily basis are likely confused by trading noise. While trading noise contributes to the long-term trends, it does not define them. Human behavior tries to explain trading noise as a meaningful trend. This confuses the majority which, in turn, contributes to their role as bagholders of trend transitions.
The pound's (NYSE:FXB) focused bear opportunity has produced 12% annualized return for the bears since the second week of November 2015 (see COT Matrix Cutout)
COT Matrix Cutout
A weekly close above the June gap from 132.32 to 132.60 (red zone) end the down impulse.
While doom and gloom about a falling pound rules the headlines, its exactly what Britain needs to boost its exports and failing economy longer term. Politicians have be 'trained' to view a strong pound as good and weak as bad.
Few remember that Britain, the first nation to remove itself from the gold standard, was also the first to recover from the Great Depression. Don't expect the financial headlines to consider the lessons from history. Britain, despite all the doom and gloom, made the right move to leave the EU - also known as the sinking ship.