GBP/USD Focus Shifts to Central Bank Meetings Amid UK Inflation Data Surprise

The GBP/USD currency pair is in focus today and for the rest of the week due to upcoming central bank meetings and recent UK inflation data. The US Dollar has a mildly bullish fundamental backdrop ahead of its policy meeting, while the British Pound is supported by resilient UK activity and a relatively hawkish rates outlook.

The Bank of England's decision is not expected to be as decisive as the Federal Reserve's, with no rate hike anticipated at tomorrow's BoE meeting. However, the UK inflation data released earlier today showed a minor surprise, with headline CPI slowing to 2.6% in June from 2.8% in May.

Adam Lemon notes that the price action is throwing doubt on the bearish trend, with a triple bottom forming at around $1.3465 and a double bottom at the resistance level nearby at 1.3495, which is confluent with the big round number at 1.3500.