GBP/USD trades below the 1.25 level while EUR/GBP holds above 0.86. Economists at ING discuss GBP outlook.
EUR/GBP could edge up towards the 0.8670 area
If we are right with our call for an ECB rate hike on Thursday, EUR/GBP could edge up towards the 0.8670 area. And given that we like a continued strong Dollar in the short term, expect GBP/USD to press the 200-Day Moving Average at 1.2430.
Recall that based on speculative positioning data, both the Euro and Sterling look the most vulnerable to further Dollar strength.
Source: https://www.fxstreet.com/news/gbp-usd-to-press-the-200-dma-at-12430-ing-202309130653