GBP/USD: Small rebound - Commerzbank

Karen Jones, analyst at Commerzbank, suggests that we are seeing a small rebound for GBP/USD after its recent move to 1.2479/77 was not confirmed by the daily RSI.

Key Quotes

“While rallies remain capped by the 20 day ma at 1.2706 we will regard the market as vulnerable on the downside. Below 1.2477 targets the 78.6% retracement at 1.2109. Above the 20 day ma lies the 1.2840 current December high but while capped by the resistance line at 1.2928 it will remain offered.”