GBPUSD

GBPUSD: Cable is on track for a 0.2% decline for the day amid the broad USD-positive/risk-off mood in markets with little to highlight on the domestic front as a GBP driver. At least in the short term, it appears the pound is building a relatively narrow trading band between 1.25 and 1.2650 after its gains through late-June and early-July stopped just short of the 76.4% fib mark of its June decline. A breach of 1.25 and then the 1.2450 area could leave sterling at risk of dropping all the way to near 1.2250. Key resistance is 1.26 followed by 1.2650.