GBP/USD to tick down but unlikely to dive below the 1.05-1.07 support zone – Standard Chartered

How likely is it for GBP/USD to break below parity? Economists at Standard Chartered expect cable to edge lower but remain above the 1.0500-1.0700 area.

GBP/USD could see a retest of 1.14 and even 1.16 in the near-term

“While upward momentum could see a retest of 1.14 and even 1.16 over the next few days, we expect cable to edge lower in the coming weeks, with 1.0700 and 1.0500 as key near-term supports.”

“Disappointment on potential rollback or budget proposals could raise the risk of a test of parity, but we believe GBP/USD may struggle to break below the 1.0500-1.0700 region where it should stabilise.”