GBP/USD: better bid while above 1.2804 - Scotiabank

Analysts at Scotiabank explained that cable has tested below 1.28 four times over the past week and the market has failed to sustain losses on each occasion; 

Key Quotes:

"Buying from the upper 1.27 are, effectively, protecting the 40-day MA signal at 1.2804 and has squeezed the GBP higher. 

Look for support around 1.28 to hold for now and for the GBP weakness to extend only on a daily close below 1.2804."