• GBP/USD strengthened on Friday as US dollar fell due to quiet trading due to a U.S. holiday.
• This month, global financial markets were rattled by fears of trade tariffs proposed by U.S. President-elect Donald Trump and heightened geopolitical tensions that drove investors to safe-haven assets.
• All eyes are on major central bank policy decisions next month, with the BoE widely seen holding rates while the Federal Reserve and European Central Bank rate are expected to make cuts..
•Data on Friday showed British lenders approved the most mortgages for house purchase since August 2022 last month, although consumer credit growth slowed slightly to its weakest in nearly two years.
• Immediate resistance is located at 1.2748( 21SMA), any close above will push the pair towards 1.2777(50%fib)
• Strong support is seen at 1.2672(38.2%fib) and break below could take the pair towards 1.2538(23.6%fib).
Recommendation: Good to buy around 1.2700 with stop loss of 1.2610 and target price of 1.2750
