Further side-lined trading remains on the table for GBP/USD in the next few weeks, according to UOB Group’s Economist Lee Sue Ann and Markets Strategist Quek Ser Leang.
Bulls regained control on Thursday after better than expected UK PMI data (services and composite rose above 50 threshold which divides contraction from growth and manufacturing sector performed better than expected) brightened the outlook and gave fresh boost to sterling.
If EUR/USD clears the 1.0945 level, it could open the door to a potential test of the 1.1000 threshold in the next few weeks, suggest UOB Group’s Economist Lee Sue Ann and Markets Strategist Quek Ser Leang.
Further improvement could prompt EUR/USD to revisit the 1.0660 region in the near term, comment Economist Lee Sue Ann and Markets Strategist Quek Ser at UOB Group.