GBPUSD After UK GDP & US CPI

Short and Sweet today.

UK GDP data was better than expected and US CPI softer than expected this week. Producing a stronger GBPUSD. (UK CPI is released Wednesday July 17th). If price is able to trade and close above resistance at 1.2895 this can be seen as confirmation of the break higher and sees price target 1.3155 and even higher.

With the French political situation still possibly weighing upon the Euro, GBPEUR can continue higher.

Elsewhere, Japanese TV reports that the Bank of Japan is intervening to sell USDJPY. If USDJPY stays rangebound investors can still receive 5.25% being long GBPJPY and 3.75% being long EURJPY. So Yen crosses could continue to support EURUSD and GBPUSD.

Lets see.