GBP/USD Range-Bound Trading Expected in Near Term

The British pound is expected to trade within a defined range against the US dollar in the near term, according to UOB Group's foreign exchange strategy team.

This range-bound trading is due to limited upside potential for the pound, despite its recent resilience. The pair is currently trading near the middle of its recent range, reflecting a balance between buying and selling pressure.

The key support levels identified by UOB are 1.2600 and 1.2550, while the immediate resistance is at 1.2700, followed by 1.2750. These levels are based on recent price action and volatility patterns.