However, it’s important to know – the pair lost only about 100 pips during that period. And we need to take into consideration that USD was quite strong for the whole week. So, the pair moves say that investors are in no rush to get rid of the pound, as they trust hawkish Carny. And it means that the very first argument in favor of GBP will trigger a broad based rally.
Non-Farm Payrolls scheduled for release on Friday may become such a driver. We already know the markets are overheated by the recent Trump’s tweets. Better than expected numbers are priced in. Besides, average hourly will stay in focus, as the recent FOMC minutes showed some members were in doubt about the further progress on .
If the number of new jobs and average hourly in Non-Farm Payrolls come out below expectations, it may become a trigger to sell USD. In this case, GBP/USD may reach 1.3030 and target 1.31.