• GBP/USD strengthened on Wednesday as the dollar weakened due to a lack of clarity regarding President Donald Trump's plans for tariffs.
• Trump's tariff threats on the EU and China remain, though relief emerged as investors had expected them in his initial executive orders.
• Trump's policies on immigration, taxes, and tariffs could boost growth but also raise inflation. However, his more cautious tariff approach has eased concerns about high inflation risks.
• At GMT 10:53 the pair was trading up 0.21 percent at 1.2369.
• Immediate resistance is located at 1.2433( 50%fib), any close above will push the pair towards 1.2500 (Psychological level)
• Strong support is seen at 1.2313(38.2% fib) and break below could take the pair towards 1.2234 (Jan 21st low).
Recommendation: Good to buy around 1.2360 with stop loss of 1.2280 and target price of 1.2430
