GBP/USD: Losses should slow nearer the low-1.23s – Scotiabank

GBP/USD softened after retesting recent peaks in the mid-1.24 zone. Losses should slow nearer the low-1.23s, economists at Scotiabank report.

Cable struggles to get clearly above the 1.2450/60 area

“Cable is clearly struggling to get clearly above the 1.2450/60 area that marks the 61.8% retracement of its 2022 decline.”

“Losses may extend a little below minor trend support at 1.2365 intraday. The broader technical tone here is positive though so losses should slow nearer the low-1.23s.”

“News of a government probe into the Tory party chairman’s tax affairs may be weighing on GBP sentiment at the margin but these sorts of embarrassments are hardly uncommon for this government.”