Sterling losses are extending for the seventh day in eight to trade in the mid 1.34s. Economists at Scotiabank note that a breach of the 1.34 would clear the way for a slump to the 1.32 area.
Cable has failed at the 1.3495/500 resistance
“GBP/USD is still holding above Monday’s intraday low of 1.3440 that stands as support, followed by the 50-day MA at 1.3421 and the big figure area.”
“A break under 1.34 will spell more trouble ahead for the pound and target a move to the 1.32 zone.”
“Resistance is 1.3495/500 (failed test this morning) followed by the 100-day MA at 1.3536 and the mid-figure area.”