BOE & FOMC Meeting This Week Determines GBP/USD Fate!


 The price movement on the chart of the GBP/USD currency pair last Friday flattened above the 1.21000 zone following the US dollar's continued strengthening despite the good economic data from the United States (US) published that week.

For the US dollar, investors will focus on the FOMC meeting early Thursday morning to examine further monetary policy by the Federal Reserve (Fed).

At the end of the week, the US NFP employment data report is seen to drive the market movement at the close of the last session.

For the Pound currency, investors await the results of the central bank of England (BOE) policy meeting on Thursday with interest rates expected to be maintained at 5.25%.

The central bank's follow-up statement will be scrutinized for indications of monetary policy to be implemented thereafter.

Price action on the horizontal GBP/USD chart started trading at the opening of the week around 1.21100 while hovering at the Moving Average 50 (MA50) line on the chart's 1-hour time frame.

If the price manages to push higher above last Friday's high, the price will head towards the 1.22000 level to test between the concentration levels of the previous weeks trading.

If the level is successfully overcome, a higher price increase will target the resistance zone at 1.23000.

However, if the price breaks below the 1.21000 level, this will be an early signal for a further decline towards the end of the week.

Overcoming the level reached last Thursday around 1.20700, the price can then drop to around the 1.20500 zone or even lower at 1.2000.