GBP/USD Shorts Re-Opened as Crédit Agricole Sees Overbought Pound

The Pound Sterling has seen a four-week rally, pushing its value up over 2% from last month and around 1.1% since the start of 2026.

However, Crédit Agricole believes that this recent strength has left positioning stretched, prompting them to re-enter a short GBP/USD trade near six-month highs.

The bank's strategists, Valentin Marinov and Alexandre Dolci, stated that the G10 FX PIX 3.0 signals show the GBP and CHF are overbought.

They have consequently entered a new short GBP/USD position with a +4% strategy target and -2% stop-loss, which is not a published forecast but rather a tactical trade.