GBP/USD: Looking for recovery to 1.5424 / 1.5606 - RBS

FXStreet (Guatemala) - Dmytro Bondar, Technical Analyst at RBS, explained the technical conditions surrounding GBP/USD.

Key Quotes:

"The market gained a new support at the 1.5198 level after bouncing from the 1.4970 key support, being the 76.4% retracement from 2001 – 2004 impulse wave. We were expecting the pair to form a local base there with further near-term recovery towards 1.5600 remaining on the table."

"This overall makes a wide range of 1.4970 – 1.5600 to be the main technical theme for Q1, in our view."

"Overall, I hold the view, for the near-term to see some recovery towards 1.5424 / 1.5606. Caveat would be a break below 1.4950."

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