This is via Commerzbank, a note from overnight in Europe. Commerz highlight the 1.3458 level:
GBP/USD spent last week oscillating at the 200 day moving average and is starting to show signs of correcting higher. It has recently held over the January 2018 low at 1.3458 and while above here we will assume an upside bias.
Intraday rallies are likely to find resistance at circa 1.3695/1.3712 (March low). Rallies are expected to remain capped by the 1.3923 55 day moving average and while below here the market will remain directly offered.
Slightly longer term, we look for a slide to the 55 week ma at 1.3394.
Where are we wrong? A daily close above 1.4377 will negate our negative bias (not favoured).
Short Term Trend (1-3 weeks): Targets the 55 week ma
Long term trend (1-3 months): Key week reversal. Targets 1.3394 55 week ma, then 1.3040 October 2017 low and eventually 1.2580/90.
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