ANZ Research discusses GBP outlook this week.

"Looking ahead, the key domestic release will be the preliminary Q2 GDP print on 13 August, which should provide a clearer read on the UK growth outlook. Given the GBP's historically muted reaction to GDP releases, we do not expect it to be a major catalyst unless the outcome is materially different from expectations. From a technical perspective, GBP/USD is mildly constructive after holding above its 50-, 100- and 200-dmas. Momentum indicators have improved, with the RSI recovering above 50 and the MACD turning higher, suggesting scope for gains. However, the pair faces resistance around 1.35, with a sustained rise needed to break above 1.36," ANZ notes.

"Into this week, we expect GBP/USD to trade in the 1.345– 1.355 range, as markets await a fresh catalyst. As such, any further paring back of Fed tightening expectations or renewed USD weakness is likely to translate into GBP strength, making pullbacks opportunities to buy rather than signalling a change in trend," ANZ adds.