More gains likely for GBP/USD, says Barclays Capital, with the break above 1.5780 suggesting gains toward 1.5890 and the 200-day moving average at 1.5955.

The bank says the previous bullish squeeze seen in 2011 lasted some 800 ticks from start to finish, so a repeat of this would suggest a return to the 1.6050 area.

BarCap says it's still reluctant to assume yesterday's breakout is a major bullish signal, and the 9 day RSI is in overbought territory.