Societe Generale Cross Asset Strategy Research argues that 'bumping along the bottom' still sums up GBP's key trading theme even if weeks like the last one show what a bump can look like.
"From here, we see far more chance of making a new high in EUR/GBP and a test of parity at some point, than a break below the lows in GBP/USD.
1.25-1.40 probably captures the GBP/USD range for the next year (or longer).
And EUR/GBP 0.85-1.0 may well capture the vast bulk of trading in that cross through to the end of 2018, too," SocGen argues.
Source: Societe Generale Cross Asset ResearchOriginal Article
