GBP/USD outlook stays neutral/bullish – Scotiabank

In view of Shaun Osborne, Chief FX Strategist at Scotiabank, Cable’s stance remains neutral/bullish in the short term horizon.

Key Quotes

“While the GBP slid as markets pondered UK rate prospects, Gov Carney remarked that the UK economy remained on track for a gradual tightening in monetary policy. GBP dips should remain supported”.

“Cable had a positive session overall yesterday but has given back some of those gains today. We think 1.3250/1.33 should slow GBP losses and perhaps provide a platform for a broader base – if yesterday’s gains are not already a sign that a short-term low is in. We see spot in a range between 1.3350/1.3450 for now. Upside prospects improve above 1.3450”.