GBP/USD: stuck in a range, beyond 1.30 a tall order - Scotiabank

Analysts at Scotiabank noted the recent data from the UK and developments in the price of cable.

Key Quotes:

"UK Aug manufacturing PMI rose to 56.9, the highest in four months and well above market expectations for a modest drop (to 55); Jul’s data was revised slightly higher also (55.3). The data provided little support for the GBP, however, and GBPUSD remains stuck around the low 1.29 area and investors remain concerned by the apparent lack of progress in Brexit talks. 

GBPUSD short-term technicals: neutral—Cable is stuck in a range, The pound is finding good support on dips to the 1.29 area but may struggle to extend above 1.30 unless the USD weakens more broadly. Trend momentum signals are neutral on the short, medium and longer run studies, suggesting more choppy range trading ahead."