Bank of England announced on Thursday to hold interest rate at the record low of 0.1%. Policymakers noted that the central bank will closely observe the situation and take any further measures when necessary to prevent financial shrinkage.
Chartered Bank noted that once public health emergency situation is improved, the British government’s response on the large scale should be able to quickly revive the economy, and in combined with strict containment measure similar to that taken by China and Italy, it’s expected that the pound will continuously rally.
Pound has been among the G10 currencies with the least satisfactory performance year to date, falling 11% against US dollar so far. According to Chartered Bank’s assessment of fair price, the pound has dropped to a record low against dollar.
GBP/USD daily pivot points 1.2001---1.2133
S1: 1.1907 R1: 1.2359
S2: 1.1615 R2: 1.2519