GBP/USD vulnerable, still neutral – UOB

In view of the research team at UOB Group, the pair’s outlook remains neutral in the near term, although downside risks have been increasing.

Key Quotes

“The break below the major 1.4050 support was short-lived as GBP rebounded strongly from a low of 1.4006. The downside risk has clearly increased but at this stage, we prefer to maintain our neutral view”.

“That said, the downward pressure will continue to grow unless this pair can move back above 1.4280 in the next 1 to 2 days. A break below 1.4000 would increase the odds for a retest of the 1.3835 March low”.