GBP/USD bulls done for now? - Scotiabank

Analysts at Scotiabank explained that Sterling’s mid-January bounce might be done for now.

Key Quotes:

"The pound has been on a tear over the past week but short-term patterns suggest a minor peak might be in for the pound near 1.2540 now."

"We don’t think losses will amount to much, however, and intraday charts suggest some support may be developing now in the low 1.24 area."

"We still think the pound put in a strong base against a range of currencies last week which shifts the balance of technical risks to the topside in the next few weeks/months – especially the more beaten down crosses (GBPCAD, GBPJPY)."