The pound sterling rose over 0.80% on Friday, the last day before the UK leaves the EU. This now means that lawmakers on both sides have the next 11-months to chalk out the various aspects covering trade and immigration.
The gains in the GBP were also partly attributed to the weakness in the USD.
GBP/USD Faces Resistance at 1.3226
The current gains in the GBPUSD will see price testing the resistance level of 1.3226. A breakout above this level is quite possible if the bullish momentum holds.
Alternately, a reversal near this resistance will signal a move back to the 1.3100 level where support could form. We expect price action to remain range-bound within these levels in the near term.
