GBP/USD neutral, likely between 1.2870/1.2945 – UOB

Cable is still seen neutral in the next 1-3 weeks, suggested FX Strategists at UOB Group.

Key Quotes

24-hour view: “Aside from a quick dip to 1.2878, GBP traded mostly sideways yesterday within a relatively narrow range of 1.2878/1.2937. The consolidation phase appears incomplete and further range trading is expected, likely between 1.2870 and 1.2945”.

Next 1-3 weeks: “There is not much to add as GBP traded in a relatively quiet manner over the past few days. The strong rebound from last week’s 1.2775 low still appears to have scope to extend higher to 1.3020 but the odds for such a move have diminished. On the downside, only a move back below 1.2840 would indicate that the current mild downward pressure has eased”.