US Dollar firms near 16-month highs. GBPUSD is under pressure at five-week highs. USDCAD pulls back on Omicron easing fears.
GBPUSD technicals
The British pound has been one of the best performing majors amid the dollar strength across the board. The GBPUSD pair has since bottomed out, powering to five-week highs amid renewed bidding on the GBP. After bottoming from lows of 1.3172, GBPUSD bulls have steered a rally to highs of 1.3455, which has emerged as a short resistance level. A breakthrough in the resistance level should pave the way for a rally to highs of 1.3513, the next substantial key level.
Fundamentals
The bullish biases on GBPUSD comes on traders reacting to a more hawkish Bank of England, which hiked interest rates amid the uncertainty triggered by the Omicron variant. The monetary policy tightening all but fuelled pound strength against the dollar. For deeper analysis: https://forexezy.com/gbpusd-under-pressure-on-brexit-uncertainty-as-usdcad-pull-back-stalls