Pound Sterling to US Dollar (GBP/USD) Outlook: "Complexion for the pair to turn perceptibly top heavier"

A look at today's US Dollar (Currency:USD) versus Pound Sterling spot rates shows:  

• The Pound to US Dollar exchange rate is 0.07 pct lower on a day-to-day basis at 1.5493.
• The US Dollar to Pound exchange rate is

NB: The above are spot market quotes, your bank will subtract their own spread when passing their retail rate. However, an independent FX provider will guarantee to undercut your bank's offer, thus delivering you more currency. Please learn more here, or use our custom wholesale vs retail currency converter.

US Dollar Predicted to Maintain Upper Hand Against the Pound

Emmanuel Ng at OCBC Bank says the near-term outlook is likely to favour the US currency:

"The GBP-USD continued to test lower on Thursday with the pair dipping below 1.5500 briefly with the firmer broad dollar overshadowing any GBP  resilience.

"On the latter point, we note however that the EUR-GBP headed south below 0.8550 on the back of supported UK yields.

"Going ahead, if pair manages to drill below 1.5500 (200-day MA at 1.5507), expect the complexion for the pair to turn perceptibly top heavier."

Gareth Berry, strategist at UBS says he also sees a bias for moves lower:

"The pair is consolidating and with momentum pointing lower, the risk appears to be more weakness to test the strong support at 1.5373. Resistance is at 1.5573 ahead of 1.5718."

HOWEVER: Luc Luyet at MIG Bank gives an alternative view on the outlook for the Pound Dollar exchange rate saying there is the chance that a strong rally could shape up:

"GBP/USD continue to show signs of residual demand as it finds initial support close to the 200 day moving average, which currently lies at 1.5507.

"Failure to witness a bearish follow through after the break under 1.4832 suggests scope for a strong recovery, back to daily channel resistance, which resides near 1.6150."

RoboForex give quite a complex forecast:

"The Pound completed its descending correction. We think, today the price may reach the level of 1.5537 and then fall down towards the level of 1.5478. Later, in our opinion, the pair may form an ascending structure to test the level of 1.5580 and then continue moving upwards to reach the target at 1.5890."

Pound lacks ground to stand on

Concerning the fundamental outlook for the Pound Sterling, Sasha Nugent at Caxton FX says:

"The upside surprise of US GDP figures did the job of confirming the direction of the US economy, increasing the likelihood of QE3 tapering. Encouraging figures from Chicago PMI and the Revised UoM Consumer Sentiment could possibly extend these losses.

"The pound lacks ground to stand on today although net lending figures could provide a buffer to recent downward movement. We doubt sterling can resist dollar strength and a dip below 1.55 is plausible."