GBP/USD: Bullish momentum on daily chart is fading – OCBC

Pound Sterling (GBP) extended its decline amid broad USD bound. Pair was last at 1.3499 levels, OCBC's FX analysts Frances Cheung and Christopher Wong note.

Risks skewed to the downsid

"Bullish momentum on daily chart is fading while RSI fell. Risks skewed to the downside. Support at 1.3410 levels (21, 100 DMAs), 1.33. Resistance at 1.3500/20 levels."

"Focus this week on prelim PMIs (Thursday) and retail sales (Delayed for 2 weeks). Softer than expected print may weigh on GBP. Elsewhere, Powell’s speech on Friday will likely influence the USD, and this will affect GBP’s directional bias."