• GBP/USD strengthened on Thursday as China's stimulus plan boosted risk appetite.
• The varying monetary policies of the Bank of England in relation to other major central banks also contributed to the strength of the British currency.
• The pound has rallied over 2% since the Fed's significant rate cut and the Bank of England's decision to hold rates last week.
• Technical signals are strongly bullish as RSI is at 64 , daily momentum studies 5, 9 and 10 DMAs are trending up.
• Immediate resistance is located at 1.3430( 23.6%fib), any close above will push the pair towards 1.3458 ( Higher BB)
• Strong support is seen at 1.3349(38.2% fib) and break below could take the pair towards 1.3284 (50% fib).
Recommendation: Good to buy around 1.3350 with stop loss of 1.2980 and target price of 1.3400