FXStreet reports that FX Strategists at UOB Group suggest that cable’s downside momentum could extend to the 1.3760-zone in the short-term horizon.

24-hour view: “We highlighted last Friday “improved downward momentum could lead to GBP moving below 1.3860 but the next support at 1.3820 is likely out of reach”. We underestimated the downward momentum as GBP plummeted to 1.3779 before rebounding. The sharp rebound has scope to extend but any advance is likely limited to a test of 1.3900. The next resistance at 1.3930 is unlikely to come into the picture. Support is at 1.3820 followed by 1.3790.”

Next 1-3 weeks: “GBP subsequently dropped briefly to 1.3779 before rebounding to close at 1.3831. Downward momentum has improved a tad and GBP could edge lower to 1.3760 in the coming days. On the upside, a break of 1.3965 would indicate the current mild downward pressure.”