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GBPUSD : Ready to Break Breakdown, Focus on BOE Monetary Policy

GBPUSD : 4 Hour Chart

GBPUSD seems like consolidating and giving a bearish signal on the 4 hour chart. The trend seems to be a descending triangle according to which the pair should decline below the key support at 1.6285. The pair was earlier trying to revive but still seems like the pair is under pressure as demand for US dollar continues to be support despite missed durable goods data and jobless claims data released yesterday. Investors now seems like waiting for the Final GDP data releasing today at 8:30 AM EDT. We might see some changes in the pair after the report.

GBPUSD : Daily Chart

On the daily chart, the pair seems like is ready for either a break out or break down as it seems like consolidating within the symmetrical triangle. The bias is towards the break down as 100 day SMA is also contracting towards the 200 day SMA signaling a downtrend continuation.

On the other hand after the Scottish independence referendum the investors will now again look for the Bank of England guidance on future monetary policy. If the central bank gives a hawkish view, it will again build up the expectations that BOE will increase the interest rates soon giving a surge to Pound.