GBP/USD approaches the 1.2694/1.2730 resistance – Commerzbank

GBP/USD is approaching the 1.2694/1.2730 resistance area as the cable trades at 1.2633, up 0.10% on a day. Axel Rudolph, Senior FICC Technical Analyst at Commerzbank, expects the currency pair to see some consolidation at the mentioned resistance. 

Key quotes

“GBP/USD is getting ever closer to the 1.2694/1.2730 resistance area which consists of the 200-day moving average and the eight month resistance area. There it is likely to at least short-term stall. Further up beckons the June peak at 1.2814.” 

“Immediate upside pressure will be maintained while the cable remains above the 1.2543 June 24 high. Minor support below it can be seen along the 55-day moving average at 1.2439 and also along the March-to-July support line at 1.2364. Below, the next lower 1.2251 late June low lie the April low at 1.2163 and the May trough at 1.2072.”