Sterling’s short-term pattern of trade looks encouraging and the resilience of demand for the Pound on weakness over the past month or more is notable. 

Trend momentum is supportive on the intraday studies but less so on the longer-run oscillators. Notably, intraday gains are making progress above long-term trend resistance off the July high for spot. 

A close above 1.2205 will add to positive momentum in Cable and target additional gains (to 1.23 initially, potentially 1.2450) in the weeks ahead.