Pound Sterling (GBP) is coming into Monday’s NA session flat in opposition to the US Greenback (USD), a relative underperformer in an surroundings of modest threat urge for food and delicate USD weak spot, Scotiabank’s Chief FX Strategist Shaun Osborne notes.
CPI is on Wednesday and BoE is on Thursday
“Home threat is elevated this week as markets await Wednesday’s CPI launch, coming simply forward of Thursday’s BoE the place policymakers are anticipated to ship a extensively anticipated maintain. Current knowledge disappointments have delivered an adjustment in expectations for the BoE, constructing in barely extra easing into the top of the yr with markets now pricing almost two 25bpt cuts.”
“GBP/USD stays nicely supported because it continues to push to recent multi-year highs. The RSI is bullish however nicely in need of overbought ranges, and there seem like no main resistance ranges forward of 1.3750. We glance to near-term help round 1.3520 and near-term resistance within the decrease 1.36s.”
