Sterling remains rangebound against the USD but dips to the 1.2600 area remain well-supported, economists at Scotiabank say.
Cable to strengthen and regain the mid/upper 1.2700s on a break past 1.2680/1.2685
Sterling sits a little below the mid-point of its two-month trading range after dropping back from levels near 1.2700 at the start of the week.
Short-term trend momentum is leaning bearish but there are signs of firm support on dips to the low 1.2600s on the intraday chart.
Spot gains need to extend through short-term resistance at 1.2680/1.2685 in the next day or so to allow the Pound to strengthen and regain the mid/upper 1.2700s.
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