GBP/USD: Poised to challange the 1.30 support – OCBC

The GBP/USD pair slides below the 1.31 level. Economists at OCBC notes that the cable is now set to tackle the 1.30 mark. 

Bank of England hiking into slowing growth seen as a policy mistake

“The GBP/USD found a solid base at 1.3100 after dipping through the 1.3200 support on Mon. This could well be a temporary waypoint towards the 1.3000 level.” 

“Aside from the geopolitics, the BoE may be hiking into slowing growth, and could potentially be seen as a policy mistake, to the detriment of the GBP.”

“Bias is for further downside.”