GBP/USD: Against Cyclical Drivers, Cable Should Be Trading North Of 1.34 – TD

The pound struggled to stabilize amid a mixed jobs report and the Brexit bill.

Here is their view, courtesy of eFXdata:

TD Research discusses GBP/USD outlook and adopts a tactical bullish bias, and sees a scope for a move towards 1.3675.

“Alongside a decent round of data this morning, the recent string of events should offer GBP some tailwinds. We note that cable looks cheaps to HFFV, which provides some room to 1.3675.

Indeed, against cyclical drivers it should be trading north of 1.34, which increases the scope for a push higher on the favorable Brexit news. The 200dma sits at 1.36 so a sustained break there might aid in a relief rally,” TD argues.

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