GBP/USD is marginally firmer on the session. Economists at Scotiabank analyze the pair’s outlook.

Cable is showing signs of a pick up in bullish momentum

Sterling is registering a fifth, consecutive daily gain versus the USD and is showing signs of a pick up in bullish momentum on the intraday and daily studies. Last week’s peaks remain a block on near-term gains, however. 

Cable will have to push on through 1.2710 to show some additional technical momentum and perhaps stretch gains to test the upper end of the broader 1.2525-1.2800 range in play.