GBP/USD Range-Bound as Momentum Eases Below 1.3410
GBP/USD has been stuck in a tight range around 1.3455, according to analysts at UOB. Quek Ser Leang and Lee Sue Ann note that while there is some downward momentum, any decline will likely be contained within the range of 1.3430-1.3475.
The analysts point out that on a 1-3 week view, momentum has eased, making it less likely for GBP to break through resistance at 1.3555. They believe that if 1.3410 is breached, this would confirm that the previous target of 1.3555 will not be reached soon.
Looking back at the past 24 hours, GBP edged higher to 1.3486 before closing at 1.3469, a gain of 0.12%. The analysts had previously suggested that any upward momentum would likely result in trading within a higher range of 1.3445-1.3495.
The UOB analysts conclude that on the current trajectory, it is unlikely for GBP to break through resistance at 1.3555 anytime soon.