• GBP/USD held steady on Tuesday as expectations grew that the Bank of England would keep interest rates unchanged later this week.
• The Bank of England is expected to hold interest rates steady on Thursday, maintaining a gradual approach amid the impact of Trump’s trade war, mixed UK economic data, and long-term inflation concerns.
•Investors will closely watch for any shifts in the views of MPC members, as some have expressed greater concern about the risk of persistent inflation than others.
•Money markets have priced in 54 basis points of Bank of England rate cuts in 2025 and see an 89% probability of no rate change this week.
• At GMT 11:22, the pair was trading down 0.04% at 1.2985.
• Immediate resistance is located at 1.3009( 23.6%fib), any close above will push the pair towards 1.3071(Higher BB)
• Strong support is seen at 1.2909(March 17th low) and break below could take the pair towards 1.2853(38.2%fib).
Recommendation: Good to buy around 1.2970, with stop loss of 1.2850 and target price of 1.3060
