GBP/USD - 1.2155.. Cable initially penetrated Fri's 1.2302 low to 1.2263 in Asia n despite staging a recovery to 1.2300, price tumbled after downbeat UK GDP n intra-day decline accelerated in NY to a 2-year trough of 1.2108 in NY.

On the bigger picture, despite cable's brief break of 2016 post-Brexit low of 1.1491 to a near 35-year trough of 1.1412 in mid-Mar 2020 on safe-haven usd's demand following free fall in global stocks, price rallied to 1.3686 on the last trading day of 2020 following a last-minute EU-UK trade deal, then to a near 34-month 1.4241 peak in Feb suggests a major low is made. Despite hitting a 3-year peak of 1.4250 in Jun 2021, subsequent selloff to a 23-month 1.2156 low in mid-May may confirms long-awaited correction has occured. Although cable staged a short-covering rally to 1.2666 in late May, last week's fall to 1.2302 signals correction over below 1.2156 would head to 1.2000. Only abv 1.2517 risks 1.2600.

Today, cable's firm break of prev. 2022 low at 1.2156 to 1.2108 signals LT downtrend has once again resumed n would head twd 1.2075, minor 'bullish con- vergences' on such move should keep price abv 1.2000 handle. Only a daily close abv 1.2000 may risk stronger retracement to 1.2239 bit 1.2263 shoud cap upside.

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