GBP/USD: Likely to trade in a range – UOB Group

The Pound Sterling (GBP) is likely to trade in a range, probably between 1.2860 and 1.2950. In the longer run, GBP must break and remain below 1.2845 before a sustained decline can be expected, UOB Group’s FX analysts Quek Ser Leang and Peter Chia note.

Below 1.2845 a sustained decline can be expected

24-HOUR VIEW: “Yesterday, GBP fell by 0.48%, closing at a 2-1/2-month low of 1.2899. The sharp drop appears to be overdone, and GBP is unlikely to weaken much further. Today, GBP is more likely to trade in a range, probably between 1.2860 and 1.2950.”