According to UOB’s Senior Technical Strategist Quek Ser Leang, GBP/USD’s sharp rebound from 1.3226 to 1.3340 looks like short-covering rather than a trend change. The pair is expected to range between 1.3250 and 1.3350 intraday. On a 1–3 week basis, the outlook remains negative with 1.3180 as the key level, while a weekly close below 1.3300 could open 1.2945/1.3010 over the coming months.

Pound still seen vulnerable on rallies

"After GBP dropped to a low of 1.3220, we highlighted yesterday (16 Mar, spot at 1.3240) that GBP “is negative now, and the level to watch is 1.3180.” GBP then staged a sharp rebound that almost breached our ‘strong resistance’ level at 1.3350 (high was 1.3340)."

"The build-up in downward momentum has slowed, but we will maintain our view for now."

"The rebound appears to be part of a short-covering and is unlikely to be sustained. Today, we expect GBP to range-trade, most likely between 1.3250 and 1.3350."

"A weekly close below the key support at 1.3300 could trigger a decline toward the major support zone at 1.2945/1.3010. (dated 06 Mar 2026, 1.3310)"

(This article was created with the help of an Artificial Intelligence tool and reviewed by an editor.)