GBP/USD: buy dips in the mid/upper 1.29s?

Currently, GBP/USD is trading at 1.3024, up 0.21% on the day, having posted a daily high at 1.3058 and low at 1.2989.

GBP/USD attempt through 1.3050 was short lived, (1.3052 is 61.8% of 1.3126 (July 18 high) to 1.2933 (July 20 low).  The week ahead will be a busy one for the pair considering we have the Q2 GDP report (+0.3% expected, after +0.2% in Q1 and the Fed. Also, the UK Trade Secretary heads to the US placing down foundations for a post-Brexit trade deal, although analysts at Scotiabank noted that formal talks can't take place until Brexit is complete.

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The analysts at Scotiabank note that the short-term technicals are neutral:

"Cable is near the middle of the range seen over the past week. Gains to the 1.3050 area earlier in European trade have faded, giving the GBP a soft look on the intraday chart. However, broader patterns suggest good support on dips and a positive alignment of trend strength signals on the short, medium and longer run charts. This suggests good support for the pound on weakness to the mid/upper 1.29s for now," noted the analysts.