Sterling fell 0.15 percent against the dollar to $1.3491 at 13:22 in London.
Speaking to Bloomberg, he said: “What we’re seeing is a three percent appreciation in the pound and a seven percent depreciation in the dollar so you can see what’s doing the heavy lifting there.
“But I think the second point to really make here is without a Brexit crystal ball, and I don’t think anyone has that, our pound directional calls are being constantly reassessed on a rolling basis.
“I think right now a real conviction is taking us to $1.40 and for cable it’s all about the relative’s.”
Patel added that there is too much pessimism priced into the UK.
He said: “The bottom line here is that there’s just slightly too much pessimism priced into the UK and maybe slightly too much optimism priced in to the US, that convergence takes us to $1.40.”
Patel also said that pound to euro would remain stable this year around €0.85 to €0.90
He continued: “What really matters for Brexit, when you’re pricing in the structural factors, is euro-pound and for euro-sterling we’re just look at just stability this year.”
Sterling to euro dropped 0.61 percent to €1.1228 at 13:23 in London.
2018 has been volatile for British currency, while the Eurozone has started the year off with a bang.
While recent manufacturing figures from the UK have been good, they have not been enough to boost sterling.