Cable’s downside pressure is expected to subside somewhat if the 1.2780 area is cleared, according to Karen Jones, Head of FICC Technical Analysis at Commerzbank.

“GBP/USD last week saw a slight erosion of the 2016-2019 uptrend line at 1.2615. We will not chase this lower, we note the 13 count and TD support at 1.2521 and also that the daily RSI has not confirmed the new low. It will need to regain the 20 day ma at 1.2780 as an absolute minimum in order to alleviate immediate downside pressure and avert further losses to the 1.2444 December 2018 low. Minor resistance lies at the 1.2772 February low ahead of the 1.2865 April low”.