The market has been short and bearish of the GBP for some months now but yesterdays GDP number seems to have caused a shift in thinking. I wouldn’t go so far as to say that an about-turn has happened yet, but I think we need to pay much closer attention to the GBP over coming weeks.
EUR/GBP is testing important technical support near .8400 and GBP/AUD is testing important resistance, as mentioned below. If both of these levels break then I think we can look at building some medium term GBP longs. For the really brave souls, GBP/CHF and GBP/NZD might be two interesting trades?