1. Technical Overview
The GBP/USD pair offers a bullish short-term stance, as in the 4 hours chart, it's still finding buyers on dips toward a bullish 20 SMA. Technical indicators in the mentioned chart maintain their bullish slopes near overbought levels, with no signs of upward exhaustion. The pair has an immediate resistance in the 1.3090 price zone, and a break above it should open doors for a continued advance up to 1.3170, the 50% retracement of the 2016/18 rally. Below the 1.3020 region, on the other hand, the risk will likely skew to the downside, with the next relevant support being 1.2985, where the pair has the 61.8% retracement of the mentioned rally.
Support levels: 1.3020 1.2985 1.2940
Resistance levels: 1.3095 1.3130 1.3170
2. Fundamental Overview
The Sterling Pound get a nice boost from optimistic Brexit-related headlines, indicating that the EU would start redrafting the Irish Brexit protocol to appease the UK. The GBP/USD pair jumped to 1.3080 on the news, holding on to gains ahead of BOE's monetary policy meeting this Thursday. Earlier in the day, PM May's spokesman said that the Brexit proposals are the only "credible and negotiable" ones after rebel Tories presented alternative plans for the border in Northern Ireland. The Bank of England is expected to maintain its monetary policy unchanged, with all of the MPC members expected to vote to keep rates on hold. Governor Carney, who confirmed that will stay as the head of the central bank until 2020, is foreseen offering a cautious stance, amidst mixed data, and in spite of the latest positive Brexit headlines.
The GBP/USD pair offers a bullish short-term stance, as in the 4 hours chart, it's still finding buyers on dips toward a bullish 20 SMA. Technical indicators in the mentioned chart maintain their bullish slopes near overbought levels, with no signs of upward exhaustion. The pair has an immediate resistance in the 1.3090 price zone, and a break above it should open doors for a continued advance up to 1.3170, the 50% retracement of the 2016/18 rally. Below the 1.3020 region, on the other hand, the risk will likely skew to the downside, with the next relevant support being 1.2985, where the pair has the 61.8% retracement of the mentioned rally.
Support levels: 1.3020 1.2985 1.2940
Resistance levels: 1.3095 1.3130 1.3170
2. Fundamental Overview
The Sterling Pound get a nice boost from optimistic Brexit-related headlines, indicating that the EU would start redrafting the Irish Brexit protocol to appease the UK. The GBP/USD pair jumped to 1.3080 on the news, holding on to gains ahead of BOE's monetary policy meeting this Thursday. Earlier in the day, PM May's spokesman said that the Brexit proposals are the only "credible and negotiable" ones after rebel Tories presented alternative plans for the border in Northern Ireland. The Bank of England is expected to maintain its monetary policy unchanged, with all of the MPC members expected to vote to keep rates on hold. Governor Carney, who confirmed that will stay as the head of the central bank until 2020, is foreseen offering a cautious stance, amidst mixed data, and in spite of the latest positive Brexit headlines.