Morgan Stanley have told clients they are bullish on all of the G10 this week, except for the GBP, which raises questions on the possibilities of two sides of a pair both being bullish.

Analysts at Credit Suisse have confirmed to clients that they are confident their forecast for the GBP/USD will be met.

With a good number of analysts becoming wary of chasing the Pound lower at this juncture, dollar outperformance could shift to the euro.

Keep selling into any Euro Dollar Strength argues Lee Hardman, Currency Analyst at Bank of Tokyo Mitsubishi UFJ who writes:

The perpetuation of poor risk sentiment should keep the Japanese Yen bid argues Manuel Oliveri, FX Strategist at Credit Agricole.

The euro is forecast to continue rising against the British pound, particularly if an Italian bank rescue is initiated say Morgan Stanley.

BNP Paribas see the recent decision to cut the outlook on Australian debt by S&P as justification for their call for further Aus dollar weakness.

Goldman Sachs have told clients they are forecasting a second leg of post-Brexit weakness.

GBP is at risk of undershooting its fair-value targets warn Morgan Stanley.  

The Pound should find declines slow or reverse having reached a key support area. But next week the Bank of England should trigger the next break lower.