UOB analysts see limited downside for the pound below 1.3300 but warn of further weakness toward 1.3240 if breached.
GBP/USD fell sharply to the low 1.33s after briefly trading above 1.3480, pressuring key support at 1.3300. Analysts note intraday scope for a test of this level but doubt a sustained break below it due to oversold conditions.
Earlier this month, the pair traded in a range between 1.3390 and 1.3510, with resistance now seen near 1.3390/1.3410. A clear move under 1.3300 over the next 1-3 weeks could open downside toward 1.3240, though stabilization is expected before then.
Resistance levels are identified at 1.3360 and 1.3390, with the pound’s recent decline described as excessive but not yet signaling a deeper correction.