FX.co ★ dusty24 | GBP/USD

Hello everyone! GBPUSD finished yesterday’s session in the green, just as I predicted. Today the upward move will continue, GBPUSD needs to pass through the strong resistance zone of 1.3400 - 1.3450 in order to then freely rise to 1.3650. Right now the pound is supported by the narrowing yield spreads between UK and US government bonds. On the fundamental side, the rise in GBPUSD is linked to clarity around the next prime minister candidate. Andy Burnham has already confirmed a firm commitment to the current fiscal rules and budget discipline. This removes investors’ fears that the new government will spend money for the sake of populism. The economic calendar is empty today, which also favors growth. When there is no news, currency speculators trade with the trend.