Amidst the ongoing crisis, the Pound managed to steal the show to show consolidation at the close of trading last week.
This week, Pound investors will look forward to the outcome of the monetary policy meeting by the Bank of England (BOE) on Thursday followed by the FOMC meeting.
Will both the central bank BOE and the Federal Reserve (Fed) still choose to raise interest rates, or instead stop raising rates as the Bank of Canada (BOC) did recently?
Examining the price chart of the GBP/USD currency pair over the past week, the price has managed to reach a height of 1.22000 after continuing the bullish trend of the previous week.
However, the shock of the Credit Suisse crisis has pushed the price down to the 1.20000 concentration zone as the US dollar strengthens.
However, the US dollar traded weak again and gave an advantage to the Pound, seeing the price rise again.
Last week's end sessions saw the price reach the 1.22000 level which remains a resistance for the price.
Continuing trading at the opening of the week in the Asian session this morning, the price remained slow around the 1.22000 mark with the development of the crisis being monitored.
If the price manages to make an increase and break through the 1.22000 resistance earlier this week, the increase is expected to continue towards the latest target at 1.23000.
The latest 7-week high will be reached if the situation remains and the US dollar continues to weaken.
On the other hand, if the resistance of 1.2200 fails to be broken, it is likely that the price drop will occur again with the nearest level that the price will be stopped at 1.21000.
A lower drop will give an early indication that the bearish pattern will start again and the 1.20000 focus zone will be tested again like last week.
