GBP/USD Plunges to 1.3527 Amid Oversold Conditions

GBP/USD fell sharply to a low of 1.3527 on Friday before closing at 1.3540, contradicting expectations for range trading, according to UOB's Quek Ser Leang and Lee Sue Ann.

The analysts note that the pair remains capped below 1.3600, with risk skewed lower toward 1.3480 in the coming weeks.

Looking at the short-term view, they see limited further losses within a range of 1.3520-1.3570 due to oversold conditions.

In their previous analysis on August 28th, UOB highlighted that 'there has been a slight increase in downward momentum,' but also mentioned that 'any decline could be contained within a 1.3550/1.3645 range.'