FXStreet — The Cable is expected in the coming weeks between the two big barriers at 1,2800 on the Under — and 1,3010 on the upper side of the record, explained by the FX strategists of the Japanese UOB Bank.
Yesterday, we had already pointed out that a Retest of the highs can’t be ruled out 1,2921, but that the next resistance which is located at 1,2950, is likely to be strong enough to bring the strength phase of the Cables to a Standstill. The GBP reached a High of 1,2916, could not hold the level, however, and turned to the South. The quantitative indicators provide mixed signals, and the consolidation phase of the past few days is likely to continue for a while yet. Therefore, we expect a continuation of the sideways range between 1,2840 on the Under — and 1,2920 on the top.
The Outlook for the GBP moved yesterday to negative. There is no need for a Change in this forecast. The current movement is part of a consolidation phase between 1,2800/1,3010. New potential on the bottom would only arise in the case of a clear break of technical chart support at 1.2755/60.
** FXStreet News Editorial, FXStreet**