Current level – 1.1027
Fed’s decision to cut interest rates pushed the currency pair below 1.1059 as markets were disappointed because another 25BPS cut by the end of the year was not confirmed. If the move to the downside gains momentum, the first support level would be at 1.1017. In the opposite direction, a clear break of the resistance at 1.1059 could lead to a further movement towards the zone around 1.1106 and an increase in bullish sentiment.
Current level – 108.45
The pair should head for a test of the next major resistance level at 109.00 if the breakthrough of the resistance 108.25 is confirmed. In case the test proves unsuccessful, the price could bounce back towards the support level at 107.58.
Current level – 1.2465
Following two failed tests of the resistance level at 1.2502, a retracement towards the support at 1.2382 could be expected if the GBP loses its positive momentum. In positive direction, the main resistance levels remain at 1.2502 and 1.2560. Volatility is to be expected at and after 12:00 UK time as the Bank of England will announce its decision regarding the interest rate. In positive direction, the main resistance levels are at 1.2502 and 1.2560.