GBP/USD breaks major resistance at 1.23800, jump till 1.2440/1.2520 likely
Major resistance – 1.23800 (Support turned into resistance) Cable rallied sharply post Fed meeting and further supported by BOE monetary policy which was held yesterday. BOE has kept its interest rates unchanged at 0.25%…
Major resistance – 1.23800 (Support turned into resistance)
Cable rallied sharply post Fed meeting and further supported by BOE monetary policy which was held yesterday.
BOE has kept its interest rates unchanged at 0.25% but one of the committee member Forbes who leaves at end of June voted against rest of member for a rate hike of 25bpbs due to rising inflation. GBP rallied against all major pairs.
Cable upside is capped by 1.2380 and any break above will take the pair till 1.24075 (50% retracement of 1.2706 and 1.2109)/1.24450 (trend line joining 1.27060 and 1.25695)/1.2520. The pair should break above 1.25820 for further jump till 1.27060.
On the lower side , near term support is around 1.2300 and any break below targets 1.2283 (100- 4H EMA)/1.2250 level.
It is good to buy on dips around 1.2380-1.23825 with SL around 1.23200 for the TP of 1.2440/1.2520
