GBP Gains Face Resistance at 1.3655

Analysts at United Overseas Bank (UOB) are predicting further gains for the British Pound against the US Dollar, but warn that momentum divergence suggests firm resistance at 1.3655.

The GBP/USD pair spiked to a high of 1.3630 before easing, leaving short-term conditions overstretched according to UOB's Quek Ser Leang and Lee Sue Ann.

Despite this, the analysts expect further British Pound strength in the days ahead, but caution that a break below 1.3535 would signal that this upside target is unlikely to be reached.