FxWirePro: GBP/USD rebounds from 1.4226 levels after UK inflation beats expectations, outlook bullish
The Sterling surged higher against the greenback on Tuesday, extending above 1.4300 its highest level in more than a week, before retreating back towards 1.4256 levels in the early US session. The GBP got a boost from UK…
The Sterling surged higher against the greenback on Tuesday, extending above 1.4300 its highest level in more than a week, before retreating back towards 1.4256 levels in the early US session.
The GBP got a boost from UK CPI data which showed consumer prices rose to 0.5 percent compared with a year ago, after a 0.3 percent increase in February.
The BoE will have its monetary policy meeting on Thursday, along with the release of the inflation report and interest decision.
BoE is likely to maintain the Bank Rate and stock of purchased assets unchanged at 0.50% and GBP375bn, respectively.
To the upside, the strong resistance can be seen at 1.4264, a break above this level would expose to cable to next resistance level at 1.4321.
To the downside major support can be seen at 1.4220, a break below will open the door towards next level at 1.4168.
