GBP/USD: supported on BoE rate expectations - Scotiabank

Analysts at Scotiabank noted the weakness in the pound following the weaker than expected UK retail sales data (down 0.8% in the Sep month following a downwardly-revised 0.9% gain in Aug; markets were expecting a 0.1% drop in sales). 

Key Quotes:

BoE rate expectations are little changed from yesterday’s levels, when decent wage and employment data were thought to bolster the case for a Nov BoE rate hike, however. GBPUSD may find support on dips while rate expectations are sustained.

We spot intraday major support at 1.3000/10. The market may remain in a 2 cent range around 1.31 for a little longer."