GBP/USD remains offered below 1.3233 – Commerzbank

Cable’s stance remains offered while below 1.3233, noted Karen Jones, Head of FICC Technical Analysis at Commerzbank.

Key Quotes

“GBP/USD failed to penetrate the short term downtrend, which today is located at 1.3202. While it holds here, our attention remains on the 1.3049 2016-2017 uptrend. It remains directly offered while capped by the 55 day moving average at 1.3233 and last weeks high at 1.3230. The 1.3049 level is exposed and represents the break down point to 1.2830/1.2774, the 38.2% retracement and August low, and the 1.2575 50% retracement”.

“The recent October high and the 50% retracement at 1.3338/43 continue to act as a short term ceiling for the market”.

“Above 1.3343 (50% retracement) would trigger a deeper recovery to potentially 1.3417/1.3515, the 61.8% and the 2014-2017 downtrend”.