The GBPUSD moves back were it started before the rate hike

The price of the GBPUSD was a trading at 1.3562 at the time of the 25 basis point rise. The price moved to a high price of 1.3627, but as moved right back down toward the level at time of the rate decision and even traded below to 1.3558. However the price has since moved higher and currently trades at 1.3572.

Traders will be watching the high from yesterday near 1.35872 as a hurdle to now get through again. Move above that and the 61.8% retracement at 1.35987 (call it 1.3600) would be the next target.

On the downside falling back below the 1.3562 level and then the 50% retracement of the 2022 trading range at 1.35526 would not look to good from a technical perspective yesterday, after peaking, the price return to the 50% retracement level and bounced higher. Earlier today, the price did move below that level in tree rate decision trading, but that’s not all that surprising. Move back below it now, and it could spook some of the longs/buyers.