GBP/USD positive above 1.2776/71 – Commerzbank

Karen Jones, Head of FICC Technical Analysis at Commerzbank, noted Cable could test the 1.3440 area as long as it trades above 1.2776/71 band.

Key Quotes

“Sterling continues to struggle with 1.3060 the 29th September high. The new high has not been confirmed by the RSI and we note the 13 count on the daily chart. The market is likely to ease back/consolidate very near term”.

“While above 1.2776/71 and upside bias remains for scope to the 1.3443 September 2017 high”.

“The market needs to go back below the April 21 low at 1.2760/58 to negate upside pressure completely. This would introduce scope to the 200 day ma at 1.2596”.