"A brighter European and global market outlook could offer the pound a lift in the near-term, but the medium-term prospects for sustained sterling gains are limited, and our forecast profile remains neutral to moderately negative", says Wells Fargo.
"GBP/USD technicals are turning bullish, with the 20-day MA recently crossing above the 50-day MA", they say. "Initial resistance is from the June-July highs in the $1.5768-$1.5793 area. A break of those levels would target a potential move to the late-April high of $1.6302".
"Support levels include the July low of $1.5394, the June low of $1.5269 and the January low of $1.5235", they add.