GBP/USD scope for a test of 1.3446/60 area – Commerzbank

In light of the recent price action, Cable could attempt a visit of the 1.3446/60 band, suggested Karen Jones, Head of FICC Technical Analysis at Commerzbank.

Key Quotes

“We highlighted yesterday that we had a 13 count on the 60 minute chart and the market is consolidating. Initial support lies at 1.3000/60 ahead of the 1.2870 support line. It has eroded the 1.3000/60 recent high and in doing so has introduced scope to the 1.3446/60 September 2016 high. Key support remains 1.2775/50”.

“The market should now find decent support circa 1.2775/50. Below 1.2750 there is scope for an extension to its 200 day ma and uptrend at 1.2556/1.2600”.