GBP/USD to suffer a substantial drop to the 1.2855/29 zone – Credit Suisse

GBP/USD has broken a cluster of key supports at 1.3173/21. Analysts at Credit Suisse look for further weakness to the 50% retracement of the 2020/2021 uptrend at 1.2855/29.

GBP/USD maintains its break of key support to warn of further potentially significant weakness

“GBP/USD maintains its break below the key 1.3173/21 support cluster, which includes the 38.2% retracement of the 2020/2021 uptrend, 2021 lows and 200-week average and we look for further weakness to next support at the 50% retracement at 1.2855/29.”

“Resistance is seen at 1.3195 initially, then 1.3272/73.”