GBP/USD bearish near term – Scotiabank

FX Strategists at Scotiabank stick to the bearish outlook on Cable in the near term horizon.

Key Quotes

“Cable is soft, with the GBP easing below key support in the form of the 40-day MA”.

“We look for a push towards the early Feb low (1.3767) at least near term and feel that broader GBP risks are mounting following the late Jan failure around long term trend channel resistance”.

“This implies the potential for a push back to the low end of the trend channel at 1.3470/75 in the next 2-4 weeks”.