FOMC gathering brought more than enough volatility
for currency traders today, The pound rallied sharpley after the 2:00 release of the SEP and guidance on monetary policy
normalization. Prices closed to form a bullish
outside bar accommodated with a RSI
divergence 30 cross. The pound pulled back later on before the close of NY trading unable to clear the 1.50 threshold. The 1.50 price level is going to be a very important threshold as it provides previous swing low resistance and long term trend line
resistance. Our entry target level is 1.51645 which is a tick higher than high of the outside bar. If prices trade below the low of the outside bar we recommend increasing dollar exposure and would warrant an addition to the downside.