GBP/USD: Gains through 1.2340 target a retest of the mid 1.24s – Scotiabank

Cable dipped in European trade but found firm support on weakness to the upper 1.22s. Economists at Scotiabank expect GBP/USD to test the mid 1.24s on a break past 1.2340.

Firm trend persists

“Short-term trends suggest firm resistance in the 1.2330/40 zone but there is a fair degree of GBP-bullish momentum under this market and firm support under Cable in the 1.2255/60 zone.” 

“Gains through 1.2340 target a retest of the mid 1.24s.”

See: GBP/USD can head towards the key 1.2426 December high and 1.2500 resistances – ING