The GBP/USD pair once again fell below 1.25. Economists at Scotiabank note that cable needs to surpass the mid-1.25s in order to improve its outlook.

Recent price action is suggestive of a reversal of GBP May gains

“The decline to a fourteen-session low is signaling greater downward pressure than in recent declines under 1.25.”

“The pound’s daily low of 1.2431 stands as key support after ~1.2480, with the mid-1.24s also standing as a psychological floor.” 

“We think the GBP will need to firm up past the mid-1.25s shortly and then push past 1.26 to improve its fate as recent price action is suggestive of a reversal of its May gains.”