GBP/USD soars after the release of US CPI
The GBP/USD, like all USD pairs and assets, was quite turbulent with the release of the US Consumer Price Index. Following the announcement, the pair was trading around the 1.3525/1.3645 region. The currency exchange rate found support at the weekly simple pivot point at 1.3517 on Friday morning and began a climb.
Chart Notes:
• Chart time-zone is UTC (+03:00)
• Candles’ time-frame is 1h.
By the middle of the European trading day, the GBP/USD was soaring and on its way to the 1.3600 level. If the rate reaches the 1.3600 mark and passes above it, the 1.3615/1.3625 zone might act as resistance. However, take into account that the zone was passed during the CPI release’s volatility. Above the zone, the weekly R1 simple pivot point at 1.3646 could stop a surge.
A decrease in the Pound versus the US Dollar, on the other hand, is anticipated to find support near the 1.3550 level in the combination of the 50, 100, and 200-hour simple moving averages. Further down, the weekly simple pivot point at 1.3517 may serve as a restraining factor once again.
• DISCLAIMER: Please note that the above analysis is not an investment suggestion by “Capitalcore Ltd”. This post has been published only for educational purposes.