GBP/USD: Downside bias continues to build up – UOB – by pabspiovano GBPUSD Currencies Majors Banks
Economist Lee Sue Ann and Markets Strategist Quek Ser Leang at OB Group note further downside could push24-hour view: “We expected GBP to trade in a range of 1.2580/1.2680 yesterday. However, GBP fell sharply by 0.90% . The oversold decline has room to extend, but a clear break below the major support at 1.2445 is unlikely, at least not today . The downside risk in GBP is intact as long as it stays below 1.2570 .
Next 1-3 weeks: “Yesterday , we indicated that ‘there is still chance, albeit not a high one for GBP strength to extend to 1.2720 before the risk of a pullback increases’. We did not quite expect the sudden and sharp reversal as GBP plunged to a low of 1.2497. The break of our ‘strong support’ level of 1.2540 indicates that the GBP strength that started last Friday has ended. The burst in downward momentum indicates that the downside risk is building quickly.
If not otherwise explicitly mentioned in the body of the article, at the time of writing, the author has no position in any stock mentioned in this article and no business relationship with any company mentioned. The author has not received compensation for writing this article, other than from FXStreet.
FXStreet and the author do not provide personalized recommendations. The author makes no representations as to the accuracy, completeness, or suitability of this information. FXStreet and the author will not be liable for any errors, omissions or any losses, injuries or damages arising from this information and its display or use. Errors and omissions excepted.
The author and FXStreet are not registered investment advisors and nothing in this article is intended to be investment advice.
United States Latest News, United States Headlines
Similar News:You can also read news stories similar to this one that we have collected from other news sources.
GBP/USD could still attempt a move above 1.2700 – UOBIn the opinion of UOB Group’s Economist Lee Sue Ann and Markets Strategist Quek Ser Leang, there is still probability of GBP/USD to break above 1.2700
Read more »
GBP/USD holds steady above 1.2600 mark as traders keenly await US CPI reportThe GBP/USD pair extends its sideways consolidative price move for the second straight day and remains confined in a narrow trading band, above the 1.
Read more »
GBP/USD Forex Signal: Early Signs of Topping OutMy previous GBP/USD signal on 8th May was not triggered as none of the key support or resistance levels were reached during the day\u2019s London session.
Read more »
BoE Preview: Three scenarios and their implications for GBP/USD – TDSEconomists at TD Securities discuss the Bank of England interest rate decision and its implications for the GBP/USD pair. Hawkish (10%) “The MPC hikes
Read more »
GBP/USD bears are moving in as the US Dollar picks up steamGBP/USD is flat on the day after a turbulent time with the pair trading between a low of 1.2602 and a high of 1.2679. The volatility has been sparked
Read more »
GBP/USD aptly portrays pre-BoE anxiety near 1.2630 immediate hurdle on “Super Thursday”GBP/USD retreats from intraday high while slipping back to 1.2620 as it inks the market’s cautious mood ahead of the all-important Bank of England (Bo
Read more »