UK CPI

GBP/USD is holding above the 1.3500 area, but short-term price action shows bearish pressure building into a key support zone. UK CPI, the Federal Reserve policy meeting and the Bank of England decision could determine whether the pair breaks lower or stages a meaningful rebound.

GBP/USD has climbed to its highest level since May 11, supported by a weaker US dollar, softer long-end Treasury yields, and firmer UK inflation data. Technical traders are watching 1.3658 as the key confirmation level for a possible push toward 1.3700.

GBP/USD is consolidating above 1.3600 after a bullish breakout that lifted the pair to a new three-month high above 1.3630. Traders are watching whether the six-month high at 1.3658 gives way or whether support near 1.3552 and 1.3553 is retested.

GBP/USD remains supported after UK inflation rose as expected and the US dollar extended its softer tone. Technical traders are watching whether an ascending channel can carry the pair toward resistance at 1.3653.