GBP/USD must overcome 1.2775/1.2820 to confirm next leg of uptrend – SocGen

GBP/USD is unfolding a sideways consolidation. Economists at Société Générale analyze the pair’s technical outlook. 

1.2775/1.2820 topside hurdle for bulls

GBP/USD is evolving within crisscross moves around the 50-DMA denoting lack of clear direction. Recent decline has remained contained near December low of 1.2500. Break below this would be essential for confirmation of deeper downtrend.  

Currently, a rebound is under way; upper limit of recent consolidation near 1.2775/1.2820 is crucial hurdle. Once a break above this materializes, the uptrend is likely to extend towards next potential objective at 1.3010 and last year’s high of 1.3140.