On Monday the GBP/USD was making attempts to once more surge. The pair was making attempts at breaking the resistance presented by the 1.3100 level.
If that level would be broken, the weekly R1 at 1.3150 will be aimed at.
The Federal Reserve released on Wednesday the US FOMC Meeting Minutes where fed officials provide in-depth insights into the economic and financial conditions that influenced their vote on where to set interest rates.
"Almost all participants thought that it would be desirable to announce before too long a plan to stop reducing the Federal Reserve's asset holdings later this year. Such an announcement would provide more certainty about the process for completing the normalization of the size of the Federal Reserve's balance sheet," the document said.
Only US GDP will influence the GBP/USD
As it is accustomed, the last week of the month is set to be quiet for fundamental macroeconomic data releases.
The macro week will start on Wednesday. At 13:30 GMT the Canadian CPI data will be published.
On Thursday the US Advance GDP will be released at 13:30 GMT. This event can cause moves of around 20 base points.
On Friday, the Canadian GDP data will be out at 13:30 GMT. It is most likely set to be the event which will cause the biggest move during this week.
For more information watch the weekly calendar analysis stream on our youtube channel.
GBP/USD short term review
The GBP/USD pair is struggling to pass the resistance of the 1.3100 level. The round mark was providing a psychological resistance to the rates surge.If this level gets passed due to any reason then the pair should aim at the weekly R1, which is located at the 1.3149 level. It could occur, as the 55 and 100-hour simple moving averages approach the rate and push it higher.
On the other hand note that the pair might fail at the attempts of surging and remain in the range between the SMAs at 1.3050 and the 1.3100 level.
Hourly Chart
On the daily chart it can be seen that the rate broke the resistance of the 200-day simple moving average. The SMA now was set to strengthen the support of the 1.3000 level.
Meanwhile, on Wednesday an ascending channel pattern was drawn on the daily chart. It was done by using the low levels of February and December and setting a parallel line on the high level of January.
This pattern could guide the rate higher. However, that is highly unlikely due to the fundamental Brexit background.
Daily chart
Meanwhile, the trader set up pending orders were almost neutral, as 54% of all orders in the 100-pip range were set to sell.