- Analytics
- News and Tools
- Market News
- GBP/USD keeps the negative outlook – UOB
GBP/USD keeps the negative outlook – UOB
GBP/USD now looks at a potential drop to 1.2200, according to UOB Group’s Economist Lee Sue Ann and Markets Strategist Quek Ser Leang.
Key Quotes
24-hour view: While we expected GBP to weaken yesterday, we were of the view that “1.2265 is likely out of reach.” GBP fell more than expected to 1.2231 before snapping back up and then closed at 1.2295 (-0.39%). The sharp rebound in oversold conditions suggests that GBP is unlikely to weaken much further. Today, GBP is more likely to trade in a range, probably between 1.2240 and 1.2340.
Next 1-3 weeks: Yesterday (21 Sep, spot at 1.2335), we indicated that “A break of 1.2305 will not be surprising.” We added, “As conditions are approaching oversold, it remains to be seen if 1.2265 will come into view.” However, GBP broke below 1.2265 and reached 1.2231 before rebounding. While the negative outlook that started early this month is still intact, the extended decline (both time- and price-wise) feels overstretched. In other words, the weakness may not have much room to go before stabilisation is likely. The next level to watch is 1.2200. On the upside, if GBP breaks above 1.2380 (‘strong resistance’ level was at 1.2420 yesterday), it would mean the weakness in GBP has stabilised.
© 2000-2025. All rights reserved.
This site is managed by Teletrade D.J. LLC 2351 LLC 2022 (Euro House, Richmond Hill Road, Kingstown, VC0100, St. Vincent and the Grenadines).
The information on this website is for informational purposes only and does not constitute any investment advice.
The company does not serve or provide services to customers who are residents of the US, Canada, Iran, The Democratic People's Republic of Korea, Yemen and FATF blacklisted countries.
Making transactions on financial markets with marginal financial instruments opens up wide possibilities and allows investors who are willing to take risks to earn high profits, carrying a potentially high risk of losses at the same time. Therefore you should responsibly approach the issue of choosing the appropriate investment strategy, taking the available resources into account, before starting trading.
Use of the information: full or partial use of materials from this website must always be referenced to TeleTrade as the source of information. Use of the materials on the Internet must be accompanied by a hyperlink to teletrade.org. Automatic import of materials and information from this website is prohibited.
Please contact our PR department if you have any questions or need assistance at pr@teletrade.global.
Bank transfers
