GBP/USD outlook turned to neutral – UOB

GBP/USD has shifted its outlook to neutral from bearish, suggested the research team at UOB Group.

Key Quotes

“While we highlighted the lackluster downward momentum in recent updates and suggested taking some profit at 1.2850, we did not expect the sudden and strong rally yesterday”.

“The outlook for GBP has shifted to neutral and we view the current movement as a corrective recovery”.

“Based on the rather strong momentum, the current rebound appears to have scope to extend higher to 1.3170”.

“At this stage, a sustained move above this level is not expected. Overall, this pair is expected to stay supported in the next several days and any short-term pull-back is expected to encounter solid support at 1.2920”.