GBP/USD closed just under 1.36 on Tuesday after three consecutive daily declines that have been met with a decent bounce off the figure during Wednesday’s session. Economists at Scotiabank expect cable to extend its bullish trend.

Cable may continue to be bought on dips below the 1.36 mark

“After weakening from overbought above 1.37, the GBP’s trend remains relatively bullish, particularly as it manages to hold above the 1.36 level and may continue to be bought on dips below this mark.”

“Support after the 1.3590/00 area stands at yesterday’s low of ~1.3575 followed by the mid-figure zone where the 100-day MA at also stands.” 

“Above 1.3650/60, resistance is 1.3690/700 and 1.3740/50.”