After the change in trend occurred on the chart of the GBP/USD currency pair at the beginning of the week, the price is seen to continue to rise higher following the turmoil of the FOMC meeting early this morning.
The Federal Reserve (Fed) met expectations to raise interest rates and Chairman Jerome Powell said there is still room for the central bank to continue raising rates.
However, the US dollar did not show an encouraging reaction after the meeting ended with movement at the close of the New York session seeing a decline in value for the currency king.
This situation is used by the Pound to increase its value in the market even though there is no clear catalyst supporting the currency.
The central bank of England (BOE) policy meeting will be awaited next week for the market to see whether policy tightening will continue or otherwise.
If at the beginning of the week the price on the GBP/USD chart had bounced up to the level of 1.29000, continuing trading on Wednesday yesterday the price had passed that level and reached a height of around 1.29600 during the reaction of the FOMC meeting.
After a slight retreat at the close of the New York session, the price resumed the rising pattern in the Asian session this morning (Thursday) towards the concentration level of 1.30000.
If the increase is successfully extended beyond 1.30000, the resistance zone of 1.31000 will be the target that will be tested by the price.
But be careful if there is a change in direction to see the price drop back down.
A break below the 1.29000 level and crossing the Moving Average 50 (MA50) support level will signal the end of the bullish pattern and expect the bearish trend to begin.
Next, the current support level for the price at around 1.28000 will be tested again and if it breaks through lower, the price is seen to reach the 1.27000 level.
