GBP/USD now faces some consolidation near term – UOB

GBP/USD is now expected to navigate within the 1.1900-1.2150 range in the next weeks, suggest UOB Group’s Economist Lee Sue Ann and Markets Strategist Quek Ser Leang.

Key Quotes

24-hour view: “After dropping sharply on Tuesday, GBP rebounded and closed higher by 0.76% (1.2059). Downward pressure has dissipated and GBP appears to have moved into a consolidation phase. In other words, GBP is likely to trade sideways today, expected to be within a range of 1.2000 and 1.2115.”

Next 1-3 weeks: “We view the current movement in GBP as part of a consolidation phase. GBP is likely to trade between 1.1900 and 1.2150 for the time being.”