GBP/USD needs to clear the 1.32 level to point more clearly to a recovery – Scotiabank

GBP/USD has been caught in a narrow band between ~1.3140 and 1.32 since Wednesday morning. A break of 1.32 looks like the minimum requirement to point more clearly to a reversal, in the opinion of economists at Scotiabank.

Support after ~1.3140 aligns at 1.3100/10

“GBP price action has shown limited signs of a firmer push higher from sub-1.31 levels earlier this week; a break through 1.32 and then the mid-figure area would point more clearly to a reversal.”

“Support after ~1.3140 is 1.3100/10 followed by 1.3080/85.”