GBP/USD still bid above 1.3338 – Commerzbank
Karen Jones, Head of FICC Technical Analysis at Commerzbank, noted Cable stays bid while above 1.3338.
“GBP/USD eased back slightly yesterday following its break above major resistance (2014-2017 downtrend) at 1.3445, we have seen a weekly close above the 2014-2017 downtrend. This has introduced scope to the 1.3658 September high. It stays immediately bid above the 1.3338 mid October high”.
“Only below 1.3338 would alleviate immediate upside pressure and allow for weakness back to the 1.3130 2016-2017 uptrend”.
“The 1.3130 2014-17 uptrend represents the break down point to 1.2830/1.2774, the 38.2% retracement and August low, and the 1.2575 50% retracement”.