Sterling on Fire as Carney Leaves the Rate Unchanged

GBP/USD soared sharply to break the bearish trendline resistance at $1.3900. The buyers entered the market right after BOE Governor decided to leave the interest rate on hold. How far can the Cable go now? Let’s find out below…

GBP/USD – Bearish Trendline Breakout  

Looking at the hourly chart, the Sterling has formed a bullish engulfing candle as the Mark Carney keeps supporting the pound saying the global economic growth stronger, broader than for some time.

GBP/USD – Hourly Chart

For now, the pair is very likely to continue its bullish momentum until it reaches to $1.4050 and $1.4090 today. We may see sellers looming in that particular region.

Support     Resistance

1.3907    1.404

1.3826    1.4092

1.3774    1.4173

Key Trading Level:    1.3959

GBP/USD – Trading Plan

It’s a bit late to enter the market now, however, it’s in our best interest to wait for the market to test 1.4090 before entering a sell position to catch the retracement. Good luck!