GBP/USD: Heading to the top of the near term channel - Commerzbank

Karen Jones, Analyst at Commerzbank, offers key technical levels for trading the GBP/USD pair in the session ahead.

Key Quotes:

‘GBP/USD continues to work higher and is busy eroding the 20-day ma which suggests further gains to 1.3334 the top of the near term channel. We would allow for a corrective rebound near term towards the 1.3400/10 area and there is scope for the 1.3586 200 day ma (although this is less favored). The market appears to have reversed just ahead of strong support offered by the 1.3040 October 2017 low.

Below 1.3040 would target the 50% retracement at 1.2918. Below 1.2918 would be treated as the breakdown point to 1.2580, the 61.8% retracement from 2016.”