The GBPUSD pair shot higher during the course of the session on Wednesday, crashing into the 1.55 handle.

This is significant resistance, and then of course just above there is an uptrend line that previously was broken down.

That area should now be resistive, so it’s not surprising to see a bit of pulling back from the top of the candle. At this point in time, the FOMC Statement will be the focus of the market. If we break down from here, we could go back to the 1.53 level.

On the other hand, if we can break above the top of the uptrend line from this summer, we will then race towards the 1.58 handle.

Editor’s Note: Equity investors/traders can use the Currency Shares British Pound Sterling Trust (FXB, quote) ETF to take positions in the yen without a FOREX account.  The ETF looks to track the price of the British Pound Sterling (GBPUSD), minus ETF fee. The fund seeks to reflect the price of the British Pound Sterling (GBPUSD) with the shares representing a cost-effective investment relative to investing in the FOREX market.

Content curiosity of FOREXCycle