GBP/USD still sees a visit to 1.2950 – UOB

FX Strategists at UOB Group still expects Cable to visit the mid-1.2900s in the near term.

Key Quotes

“GBP eased off quickly after spiking to a high of 1.2910 early yesterday. Upward momentum is showing signs of waning and this pair has to quickly reclaim 1.2860 or the risk of a short-term top would continue to grow”.

“In other words, while we continue to expect the “UK election” rally to extend to 1.2950, this has to happen quickly as further consolidation at these higher levels would lead to a rapid loss in momentum. Stop-loss for the bullish view is unchanged at 1.2700”.