GBP/USD rebounds from near recent lows just under 1.2600. Economists at Scotiabank analyze the pair’s outlook.
Support on dips to the upper 1.2500s has been consistent recently
Sterling’s rebound from Friday’s low (a little below the 200-DMA at 1.2592) looks a bit more meaningful than many of its peers on the day so far.
Price signals are not obviously bullish on the intraday chart and trend momentum signals are aligned bearishly against the GBP on the intraday and daily oscillators. Still, support for the GBP on dips to the upper 1.2500s has been consistent recently and corrective gains in the Pound could extend a little more in the short run. Look for resistance around 1.2665/1.2675, however.
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