GBP/USD negative below 1.3443/1.3534 – Commerzbank

Cable’s outlook remains negative in the medium term as long as the 1.3443/1.3534 caps.

Key Quotes

“GBP/USD has tested and is bouncing from the base of a symmetrical triangle at 1.2937. The intraday rally into the 1.3105/45 band has been seen and we would expect the market to now falter”.

“Below 1.2937, will trigger losses to the 1.2797/50 July low and the long term Fibonacci support. A close below here will be regarded as very negative and target circa 1.22”.

“We view the September high at 1.3443 as an interim high. Only if it and the late June high at 1.3534 were to be overcome would we neutralize our medium term negative outlook”.