The GBP/USD pair climbed as much as 1.3210 today where it has found resistance. The price plunged right after the BOE even if the Official Bank Rate was increased from 0.50% to 0.75%. The Pound depreciated a little after only 8 MPC members voted to increase the back rate, one member voted to keep the rate unchanged at 0.50%.
This was a big surprise, but GBP/USD recovered after its massive drop and now it's traded at 1.3166. The currency pair came back higher as the USD was weakened by the DXY's strong sell-off. Today, the US reported positive data, but the greenback is going down after the FOMC.
GBP/USD Challenges Resistance!GBP/USD challenges 1.3160 - 1.3194 area after retesting the weekly pivot point of 1.3100. A new higher high, a bullish closure above the 1.3210 and above the mentioned resistance area may activate further growth.
On the other hand, a new fasle breakout above 1.3160 - 1.3194 could announce a new sell-off. Also, it remains to see if the rate will stay above the descending pitchfork's median line (ML).
GBP/USD Outlook!Jumping, closing, and stabilizign above 1.3194 could confirm further growth and could bring new long opportunities. The upper median line (UML) is seen as a potential target.