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GBP tests key resistance in low 1.24s – Scotiabank

The Pound Sterling (GBP) is tracking its major currency peers higher against the USD on the session—but is lagging the EUR somewhat, Scotiabank’s Chief FX Strategist Shaun Osborne notes.

PMI data and USD softness push GBP/USD upwards

“UK PMI data was also supportive, however. Services PMI rose to 51.2 in January, ahead of forecasts of 50.8. Manufacturing also improved to 48.2.”

“A nice turn higher is developing on the Cable charts. The weekly reflects a potential bullish ‘morning star’ cancel pattern (assuming a firm close today) while the daily chart shows spot testing major trend resistance (off the late September peak) at 1.2417—which coincides with initial retracement resistance at 1.2415.”

“A firm daily close should see GBP gains extend towards 1.25/1.26.”

EUR extends gains through low 1.04s – Scotiabank

The Euro (EUR) has managed to push a little more decisively through the low 1.04 area overnight, with the help of easing, for now, tariff concerns and firmer than forecast PMI data, reflecting solid, German Services data, Scotiabank’s Chief FX Strategist Shaun Osborne notes.
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Price action catalyzes the largest buying program since the summer of 2024 – TDS

CTAs were likely to buy Gold in the coming sessions in (nearly) every reasonable scenario for prices, TDS’ Senior Commodity Strategist Daniel Ghali notes.
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