GBP/USD solid support lies at 1.2560 – UOB
|FX Strategists at UOB Group stay bearish on Cable, adding that strong support is located around the 1.2560 region.
Key Quotes
“The quick ‘retest’ of last week’s 1.2636 low comes as a surprise (overnight low of 1.2640)”.
“We were of the view that 1.2636 would hold for a few days but the rapid decline yesterday suggests that a move below this level is likely”.
“That said, any further weakness is expected to face solid support at 1.2560, followed by 1.2515. To put it another way, the outlook for this pair has shifted to bearish with an immediate target at 1.2560 followed by 1.2515”.
“In view of oversold short-term conditions, those looking to sell may like to wait for ‘better selling levels’ near 1.2735/40 with stop-loss at 1.2820”.
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers.