The GBP/USD pair fell rather hard during the session on Wednesday as the FMOC announcement suggested that the Federal Reserve would begin to taper off of quantitative easing later this year, and be completely out of that game by the middle of the next year. This was a lot quicker than people had anticipated, and as a result the US Dollar saw extraordinarily strong moves into it. We have broken below the 1.55 handle, and as a result if we get below the lows from the session on Wednesday, we are sellers at that point. On the other hand, if we get a nice supportive candle in this general vicinity, we think there is still a chance for the British pound continue higher.
Written by FX Empire