GBP/USD bears stacking up for tests below 1.2000?

GBP/USD has felt some pressure as we move through the US shift, making a double bottom at the lows and now trading below the 20 sma on the hourly sticks with the supply from 1.2400 snowballing further. 

The cross in EUR/GBP has been up as high as 0.8695 and just a handful of pips away from the psychological 0.87 handle and is a driving force behind the new lows in GBP/USD today despite the upside outcome in the UK budget today after The Chancellor offered a bullish picture for near-term growth forecasts, despite concerns over Brexit. 

Just a reason or two to short the 'March rate hike herd'

However, sterling will continue to be pressured as we move towards triggering Article 50 this month while the euro may be the next trade to be long of if not already, depending on the outcome of this week's jobs report, or rather the market's reaction to the headline and not so much to the detail in respect of a Fed hike coming later this month. 

EU is now growing faster than the U.S. - Donald Tusk

GBP/USD levels

Analysts at Commerzbank view GBP/USD's near-term outlook as negative: "Sterling is in 7-week lows and is heading for the 1.1988/80 recent low and the bottom of the 5-month range at 1.1930. The market will stay directly offered below the 1.2381/1.2408, the 55 and 200-day moving averages."

GBP/USD now targets the area below 1.20 – Commerzbank