The British Pound faces immediate downside pressure against the US Dollar with risk concentrated at the 1.3480 level, according to United Overseas Bank currency strategists Quek Ser Leang and Lee Sue Ann. The GBP/USD pair is currently locked in a short-term trading range following last week’s sharp decline, with analysts projecting intraday movement confined between 1.3535 and 1.3570 today. The assessment comes as currency markets digest recent Sterling weakness, with UOB’s technical analysis pointing to potential further deterioration if the pair breaks below current support levels. Traders should watch the 1.3480 mark as a critical threshold, as a breach could trigger additional selling pressure and accelerate the Pound’s downward trajectory. The range-bound behavior suggests market participants remain cautious about taking aggressive positions while assessing incoming economic data and central bank signals from both the Bank of England and Federal Reserve.
FXnCO Insight
GBP/USD traders should set tight stop-losses near 1.3535 and prepare for volatility if the pair approaches the 1.3480 downside target, which could present shorting opportunities.
Source: FXStreet