United Overseas Bank currency strategists Quek Ser Leang and Lee Sue Ann report that the British Pound’s momentum against the US Dollar has lost steam as the month closes. GBP/USD climbed to 1.3442 before settling at 1.3387, signaling a pause in the recent upward trajectory that characterized late-month trading.
The UOB analysts project the currency pair will trade within a tight neutral range today, bounded between 1.3360 on the downside and 1.3430 on the upside. This consolidation pattern suggests traders are awaiting fresh catalysts before committing to directional positions. The stalled advance comes after a period of Sterling strength, indicating potential exhaustion or profit-taking among bulls.
Foreign exchange traders should monitor whether GBP/USD breaks outside this defined range, as a move beyond these levels could signal renewed directional momentum. For now, the pair appears locked in consolidation mode with neither bulls nor bears in clear control.
FXnCO Insight
Range-bound traders should consider fade strategies at 1.3360 support and 1.3430 resistance until a decisive breakout occurs.
Source: FXStreet