GBP/USD further downside appears limited – UOB

The research team at UOB Group sees further pullbacks in the pair to remain limited.

Key Quotes

“The low of 1.3878 yesterday exceeded our partial profit-take level of 1.3930”.

“While the outlook is still bearish, severely oversold conditions coupled with early signs of momentum slowing down suggests low odds of extension lower to the next support at 1.3800”.

“That said, confirmation that the bearish phase has ended is only upon a move back above 1.4075 (adjusted from 1.4170)”.