- BoE Monetary Policy Summary
- GBP/USD testing key level
Price Movement
Since yesterday, GBP/USD has been moving indecisively within a 55pips range.
Trend
Recently, GBP/USD is trending upwards.
Important Issue
Yesterday, the Bank of England maintained interest rate at 0.75%.
Crucial points made in the statement:
- “Since the committee’s previous meeting, near-term data have been broadly in line with the May Report, but downside risks to growth have increased.”
- “Domestically, the perceived likelihood of a no-deal Brexit has risen.”
- “Increased Brexit uncertainties have put additional downward pressure on UK forward interest rates and led to a decline in the sterling exchange rate.”
The Monetary Policy Committee also highlighted that a smooth Brexit is necessary for an ongoing tightening of monetary policy in order to hit the 2% inflation target.
Technical
GBP/USD is testing the 1.27 key level.
Price Levels
Current Price: 1.26973
Next Resistance: 1.27400
Next Support: 1.26000
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