GBP/USD to suffer a substantial drop to the 1.2850/00 area on a breach of 1.30 – OCBC

The Bank of England (BoE) monetary policy decision is unlikely to lift the pound. Economists at OCBC Bank note that the GBP/USD is set to suffer substantial losses to 1.2850/00 on a break under 1.30.

BoE to exert limited positivity for the cable

“The BoE decision (Thu) should exert limited positivity for the pair.”

“With the pair flexing against the 1.30 support, do not rule out an eventual breach and a further extension towards the 1.2800/50 range.”