GBP/USD: GBP to face significant resistance at 1.3300 – UOB Group

FXStreet
Updated
Mitrade
coverImg
Source: DepositPhotos

Further Pound Sterling (GBP) GBP strength is not ruled out, but any advance is expected to face significant resistance at 1.3300, UOB Group Quek Ser Leang and Victor Yong note.


GBP to test 1.3300 near term


24-HOUR VIEW: “In NY trade, GBP soared briefly to 1.3298, and then pulled back sharply, closing at 1.3214 (+0.39%). The price movements did not provide any clarity. Today, we expect GBP to trade sideways, likely between 1.3150 and 1.3250.”


1-3 WEEKS VIEW: “Our most recent narrative was from two days ago (17 Sep, spot at 1.3210), wherein the recent increase in momentum “is likely to lead to further GBP strength, potentially breaking above this year’s high, near 1.3270.” While GBP broke above 1.3270 in NY trade, it pulled back sharply from 1.3298. While there has been no further increase in momentum, further GBP strength is not ruled out. However, any advance is expected to face significant resistance at 1.3300. On the downside, should GBP break below 1.3120 (no change in ‘strong support’ level), it would mean the current upward pressure has faded.”

* The content presented above, whether from a third party or not, is considered as general advice only.  This article should not be construed as containing investment advice, investment recommendations, an offer of or solicitation for any transactions in financial instruments.

goTop
quote
Do you find this article useful?
Related Articles
placeholder
GBP/USD weakens below 1.3350, UK/US PMI data in focusThe GBP/USD pair edges lower to 1.3310, snapping the three-day winning streak during the early Asian session on Monday. The modest recovery of the US Dollar (USD) weighs on the major pair.
Author  FXStreet
Sep 23, Mon
The GBP/USD pair edges lower to 1.3310, snapping the three-day winning streak during the early Asian session on Monday. The modest recovery of the US Dollar (USD) weighs on the major pair.
placeholder
GBP edges over 1.33 after BoE decision – ScotiabankThe BoE left policy on hold, as expected at today’s policy decision.
Author  FXStreet
Sep 19, Thu
The BoE left policy on hold, as expected at today’s policy decision.
placeholder
BoE expected to keep interest rate unchanged at 5% as price pressures persistAfter a close call in August, the Bank of England’s (BoE) September interest rate decision is keenly awaited for fresh cues on the bank’s future policy action and the pace of its bond sales.
Author  FXStreet
Sep 19, Thu
After a close call in August, the Bank of England’s (BoE) September interest rate decision is keenly awaited for fresh cues on the bank’s future policy action and the pace of its bond sales.
placeholder
Weekly Insights: ECB Cuts Interest Rates to 3.5%Welcome to the Weekly Insights, which provides you with the most valuable information of this week.
Author  Mitrade
Sep 14, Sat
Welcome to the Weekly Insights, which provides you with the most valuable information of this week.
placeholder
GBP/USD eases from daily top on weaker UK data, hovers around 1.3100 ahead of US CPIThe GBP/USD pair builds on the overnight modest bounce from the 1.3050-1.3045 region, or over a three-week trough and gains some follow-through positive traction for the second successive day on Wednesday.
Author  Mitrade
Sep 11, Wed
The GBP/USD pair builds on the overnight modest bounce from the 1.3050-1.3045 region, or over a three-week trough and gains some follow-through positive traction for the second successive day on Wednesday.