GBP/USD still aims for 1.3060 – UOB

GBP/USD keeps its bearish stance and it still risks a test of the 1.3060 area, according to the research team at UOB Group.

Key Quotes

“GBP dipped to a low of 1.3180 before rebounding quickly. The undertone is slightly positive and the recovery could extend higher towards the 1.3280 high seen yesterday. The next resistance at 1.3300 is a strong level and for now, a move beyond this level seems unlikely”.

“While shorter-term downward momentum has waned further, the current movement is likely a consolidation phase that may last for 1 to 2 days. As long as 1.3350 is not taken out (1.3300 is already a strong resistance), the prospect for another leg lower towards our bearish target at 1.3060 still appears to be quite good”.