GBP/USD broke below 1.25 for the third time in three sessions this morning. Similar moves on Monday and Tuesday were quickly reverted but analysts at ING expect the pair to make a decisive break lower.

EUR/GBP may hold within the 0.84-0.8450 range today

“it looks like a matter of time now for the pair to make a decisive break lower: if not triggered by the FOMC announcement today, it could come as a consequence of tomorrow’s Bank of England policy meeting, which we expect to defy hawkish expectations and add some pressure to the pound.”

“EUR/GBP may hold within the 0.84-0.8450 range before tomorrow’s risk event but is at risk of jumping into the 0.8450-0.85 territory after the BoE announcement.”