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• GBP/USD rose higher on Monday as the dollar slipped following President Trump’s latest tariff threats against Europe over Greenland.
• Trump said over the weekend he would impose an additional 10% import tariff from February 1 on goods from Denmark, Norway, Sweden, France, Germany, the Netherlands, Finland and Britain until the U.S. is allowed to buy Greenland.
•European leaders rushed to avert a trade war, stepping up efforts to dissuade Trump from imposing tariffs while preparing retaliatory measures if the duties proceed..
• UK Prime Minister Keir Starmer urged calm talks on Greenland on Monday as European allies moved to avert new tariffs while preparing retaliatory measures.
• Focus now shifts to a heavy data week, including wages, jobs, inflation, public finances and retail sales.
• Immediate resistance is located at 1.3451(SMA 20), any close above will push the pair towards 1.3489(38.2%fib)
• Strong support is seen at 1.3326(50% fib) and break below could take the pair towards 1.3309 (Lower BB).
Recommendation: Good to buy around 1.3430 with stop loss of 1.3360 and target price of 1.3490
