GBP/USD: the rebound of the pound offers a new selling opportunity (UOB)

UOB recommends selling the GBP/USD around current levels.

"The GBP/USD has returned to the low of last week towards 1.2640 (trough at 1.2636). We believe that 1.2636 should hold for a few more days, but a fall below it is likely.

That said, any new weakness should find solid support towards the 1.2560, and then 1.2515.

In other words, the GBP/USD is becoming bearish with an immediate target at 1.2560, and then 1.2515.

In view of current short term oversold conditions, new sellers should wait for better levels towards 1.2735/40 with stops above 1.2820."