FX.co ★ Forecast for GBP/USD on October 11, 2023

GBP/USD

GBP/USD came close to 1.2307 this morning. The Marlin oscillator also lies in a positive area, so a breakout and rise beyond the resistance level will likely lead to a move towards 1.2444, where a correction could occur.

On the four-hour chart, the signal line forms a wedge pattern, which indicates the high probability of a breakout. However, the pattern may transform into a range (with the dashed line as the lower boundary of this range), with the pair consolidating below 1.2307. In this case, the upward movement will slow down significantly.

Non-dollar currencies will be supported by Fed members, who, since the beginning of the week, stated that the increase in bond yields points to another rate hike, clearly indicating the end of the rate hike cycle.