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GBP/USD faces downside risk below 1.3340, per UOB

UOB lowered the expected resistance cap to 1.3435 and flagged that a daily close under 1.3340 could expose 1.3300.

Reported · Written up by our desk · Major Pairs

UOB analysts Quek Ser Leang and Lee Sue Ann said GBP/USD is likely to consolidate intraday between 1.3350 and 1.3400 after a modest pullback from recent lows, with momentum indicators turning flat. They noted the pair was last seen around 1.3376, little changed on the day.

Looking ahead to the coming weeks, the bank warned that rapidly building downside momentum raises the risk of a break if GBP posts a daily close below 1.3340. In that scenario, UOB said the move could open 1.3300.

UOB also highlighted that the area near last week’s low around 1.3340 is expected to provide support, while the strong resistance level has been cut to 1.3435. The broader multi-month outlook remains range-bound, according to the note.

Latest closeGBP/USD 1.338 ▼0.4%

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