November on the pair GBPUSD began from breaking out from the triangle formation. While the 1 st of November breakout might have turned in to a false breakout, but already the next day the demand has confirmed its bullish direction .
Thursday brought a lot more factors that influenced the growth of GBPUSD. The day began with a high PMI reading for the services. Then the UK Supreme Court issued a ruling on the Brexit. The ruling says that before launching point 50 of the Lisbon Treaty, which would start the process of exiting the EU by UK, government must first obtain the consent of parliament. The final factor was the decision of the BoE, which left interest rates unchanged (read more in the article “BoE rates unchanged. Pound further up”).
On the GBPUSD chart you can see that today’s growth reached the area of movement measured after breaking out of a triangle (orange color on the chart H4). Also, as far resistance at 1.2460 remains undefeated. This level is now essential because the adjustment can nullify this weeks gains. However, if the level of 1.2460 would be finally broken there is another weak resistance but only at the level of 1.2720, and therefore the demand has a lot to do.
