GBP/USD: Consolidation after failed downside break – UOB

United Overseas Bank’s (UOB) Quek Ser Leang and Lee Sue Ann report that GBP/USD briefly dipped to 1.3178 before rebounding to 1.3267 and closing at 1.3238, invalidating a prior downside-biased view. Momentum indicators have turned flat, and the pair is now expected to consolidate between 1.3200 and 1.3280 intraday, and 1.3160–1.3310 over the coming weeks, while a weekly close below 1.3300 could trigger deeper losses.

Pound steadies inside broader range

"Today, GBP could trade between 1.3200 and 1.3280."

"Momentum indicators are turning flat, and for the time being, we expect GBP to trade between 1.3160 and 1.3310."

"A weekly close below the key support at 1.3300 could trigger a decline toward the major support zone at 1.2945/1.3010."

(This article was created with the help of an Artificial Intelligence tool and reviewed by an editor.)