GBP/USD still seen within the 1.2850/1.3030 range – UOB


Cable is still expected to navigate the 1.2850-1.3030 range in the next weeks, suggested FX Strategists at UOB Group.

Key Quotes

24-hour view: “While we noted yesterday that the ‘swift advance appears to be running ahead of itself’, we were of the view that ‘there is room for GBP to probe 1.3030’. Our expectation was incorrect as GBP slumped from 1.3008 and touched an overnight low of 1.2896. The rapid swing has resulted in a mixed outlook. That said, the rapid pull-back could extend lower but last week’s low near 1.2850 is not likely to come into the picture (minor support is at 1.2875). Resistance is at 1.2945 followed by 1.2980. The 1.3008 high is expected to be ‘safe’ for today.”

Next 1-3 weeks: “We highlighted on Monday (24 Feb, spot at 1.2950) that an ‘interim bottom is in place’ and expected GBP to ‘trade sideways between 1.2850 and 1.3030’. While GBP is approaching the top of the expected range at 1.3030, there is no marked improvement in momentum. That said, a move above 1.3030 is not ruled out but only a clear break of 1.3070 would indicate that last week’s low at 1.2849 could hold for longer than expected.”

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.

Feed news

FXStreet Trading Signals now available!

Access to real-time signals, community and guidance now!


Latest Forex News

Editors’ Picks

EUR/USD pressured as EZ ministers fail to reach a deal

EUR/USD is trading around 1.0850, down on the day. Eurozone finance ministers failed to reach a deal on a joint response to the coronavirus crisis. Disease-related headlines are eyed.

EUR/USD News

GBP/USD is hovering around 1.23 as updates on the PM are awaited

GBP/USD is trading around 1.23, stable. Updates on PM Johnson's condition are eyed amid fears of a partial power vacuum. Updates related to the disease are eyed.

GBP/USD News

Forex Today: Dollar bounces as coronavirus keeps spreading, Johnson still in ICU, Fed minutes eyed

The market mood is mixed after US stock gains vanished late on Tuesday. The slide allowed the dollar to recover, and it is rising across the board early on Wednesday. Coronavirus has already infected more than 1.4 million and taken the lives of over 82,000 people. 

Read more

WTI pierces $25 amid mixed clues, EIA data eyed

WTI holds onto recovery gains. The US catalysts seem to drive energy prices more than from the Middle East. API data escalated the inventory build, EIA might follow the footprints. Coronavirus crisis weighs on the market sentiment. 

Oil News

Gold regains $1,650 amid cautious trade sentiment

Gold defies the pullback from the monthly top. While Monday’s coronavirus (COVID-19) data suggested receding fears of the deadly disease, the latest figures keep the risk-off alive. The US FOMC minutes will decorate the economic calendar.

Gold News

Forex MAJORS

Cryptocurrencies

Signatures