GBP/USD remains side-lined between 1.2470 and 1.2670 for the time being suggested FX Strategists at UOB Group Lee Sue Ann and Quek Ser Leang.

Key Quotes

24-hour view: “Our expectations for GBP to ‘dip below 1.2470’ did not materialize as it rebounded from 1.2477 to 1.2577 before easing off to close at 1.2529 (+0.29%). The price actions appear to be part of a consolidation and GBP is likely to trade sideways for today, expected to be within a range of 1.2470/1.2570.”

Next 1-3 weeks: “Last Friday (03 Jun, spot at 1.2570), we highlighted that the sharp but short-lived swings have resulted in a mixed outlook and we expected GBP to trade between 1.2470 and 1.2670. There is no change in our view for now even though the underlying tone has softened and GBP could dip below the support at 1.2470. Looking ahead, GBP has to close below 1.2430 before a sustained decline is likely.”