In the opinion of UOB Group’s Markets Strategist Quek Ser Leang and Senior FX Strategist Peter Chia, GBP/USD could extend the upside to the 1.1440 region in the near term.

Key Quotes

24-hour view: “We expected GBP to ‘trade within a relatively broad range of 1.1220/1.1390’ last Friday. GBP subsequently traded within a broader range than expected (1.1153/1.1359). The choppy price actions have resulted in a mixed outlook and GBP could continue to trade within a broad range for the time being, expected to be within a range of 1.1150/1.1350.”

Next 1-3 weeks: “Our update from last Friday (14 Oct, spot at 1.1310) still stands. As highlighted, the rapid rally from last Thursday has gained momentum and GBP could rise to 1.1440. Overall, only a break of 1.1120 (no change in ‘strong support’ level from last Friday) would indicate that the rally in GBP is not extending further.”