GBP/USD: More choppy range trade is likely in the short run – Scotiabank

GBP/USD holds neutral 1.2600/1.2700 range. Economists at Scotiabank analyze the pair’s outlook.

Cable will have to move significantly from current levels to boost directional momentum

Cable’s sideways range trade over the past few months leaves short, medium and long-term DMI studies all sitting at weak and neutral levels. That suggests spot will have to move significantly from current levels to boost directional momentum.

More choppy range trade is likely in the short run as the market seeks a stronger sense of direction. 

Support is 1.2600/1.2615. Resistance is 1.2700/1.2715.