GBP/USD still targets 1.2797/50 – Commerzbank

In view of Axel Rudolph, Senior Technical Analyst at Commerzbank, Cable remains poised for a test of 1.2797/50 as long as 1.3481 continues to cap.

Key Quotes

“GBP/USD’s rise above the August peak at 1.3370 has taken it to its current September high at 1.3443, to just below the mid-July high at 1.3481, before it came off again. Only if it and the late June high at 1.3534 were to be overcome, would have to neutralize our medium term outlook”.

“While 1.3481 caps, the medium term focus will remain on the 1.2797/50 July low and the long term Fibonacci support. A close below here will be regarded as very negative and target 1.2060”.