GBP/USD remains under pressure – Commerzbank
According to Karen Jones, analyst at Commerzbank, GBP/USD pair remains under pressure and is now approaching 1.2108, the 78.6% retracement of the entire move up from the 2016 low.
“The 1.2108 level guards the 1.1988 January 2017 low and the 1.1491 3 rd October low (according to CQG). Intraday rebounds are indicated to be likely to hold in the 1.2350 are. It stays negative while contained by 2 month downtrend at 1.2504 today.”
“Above the downtrend this would introduce scope to the 55 day ma at 1.2616 and the June high at 1.2784.”
“A rise above the June high at 1.2784 would indicate that a bottom is being formed (not favored).”