GBP/USD rallies remain corrective only – Commerzbank

In opinion of Karen Jones, Head of FICC Technical Analysis Research at Commerzbank, Cable’s occasional rallies remain corrective only for the time being.

Key Quotes

“GBP/USD last week rallied but was thwarted circa 1.2335, we view this strength as corrective only and the market will remain directly offered below here. Below 1.2090 would mean a continuation of the descent with the 1.1938/07 low again targeted en route to 1.1793 and 1.1491”.

“Should resistance at 1.2335 be overcome then this would trigger scope for further gains to the 1.2500 vicinity”.

“We have a resistance line at 1.2688 and will consider that the market remains directly offered below the 1.3056 late September high”.