FxWirePro: GBP/USD gains as dollar retreats on Fed turmoil

• GBP/USD moved slightly higher on Tuesday as dollar eased as concerns about US Fed's independence resurfaced.

• Trump on Monday took the unprecedented action of firing Cook over mortgage borrowing impropriety claims.

•The unprecedented action, aimed at the first African-American woman to serve on the Federal Reserve’s board, may prompt a legal challenge testing the limits of presidential authority over the central bank’s independence.

• Investor attention has now shifted to the Personal Consumption Expenditures (PCE) Price Index, the Federal Reserve’s preferred measure of inflation, due on Friday.

• The data will be pivotal in shaping expectations for the Fed’s next policy steps, particularly the timing and scale of potential rate cuts.

•   Immediate resistance is located at 1.3581(38.2%fib), any close above will push the pair towards 1.3686(Higher  BB)

•  Strong support is seen at 1.3430 (SMA 20) and break below could take the pair towards 1.3374 (50%fib).

  Recommendation: Good to buy around 1.3470  with stop loss of 1.3410 and target price of 1.3550