GBP/USD negative below 1.2568 – Commerzbank

Cable’s outlook remains tilted to the bearish side while below 1.2568, according to Karen Jones, Head of FICC Technical Analysis at Commerzbank.

Key Quotes

“GBP/USD has lost downside momentum ahead of the 1.2083 October 2016 low, and is currently seeing a small corrective rebound, which has so far failed to make much impression on the 55 day ma at 1.2413. A negative bias will remain entrenched while below the 1.2568 resistance line drawn from September, this resistance is reinforced by the 100 day ma at 1.2654”.

“The near term target remains 1.2090/85, the October 11 and 25 lows. Intraday rallies are likely to now struggle circa 1.2414 /15, the 55 day ma and remain capped 1.2703/76, the December high”.