GBPUSD is poised for an explosive move after the Fed and BoE meetings

The GBPUSD rate is consolidating in the area around 1.3000 as market participants are awaiting the Federal Reserve and Bank of England’s interest rate decisions. Discover more in our GBPUSD analysis for today, 19 March 2025.

GBPUSD forecast: key trading points

• Market focus: US industrial production rose by 0.7% in February, well above experts’ expectations of 0.2%
• Current trend: an uptrend
• GBPUSD forecast for 19 March 2025: 1.2955 and 1.3050

Fundamental analysis

The GBPUSD pair is trading around 1.3000 as market participants are awaiting the outcome of the US and UK central banks’ monetary policy meetings. Following the meetings, the pair could see a sharp increase in volatility.

Today, the US Federal Reserve will announce its decision on the benchmark interest rate, which is expected to remain flat at 4.50%. The primary focus will be on Federal Reserve Chairman Jerome Powell’s press conference, where he may shed light on the regulator’s further plans.

Tomorrow, the Bank of England will present its rate decision, with experts expecting it to leave the interest rate unchanged at 4.50%. Investors will wait for hints about the regulator’s future actions in the accompanying statement.

GBPUSD technical analysis

On the H4 chart, the GBPUSD pair shows a steady uptrend, with quotes briefly rising to the price area above 1.3000 yesterday and today. The Alligator indicator also confirms growth, while the Stochastic Oscillator indicates a bearish divergence, signalling a potential downward correction.

The short-term GBPUSD forecast suggests the pair could rise to the 1.3050 resistance level if the bulls hold the quotes above the 1.2950 support level. However, a downward correction is possible if the bears gain a foothold below 1.2950, with the further target at the 1.2865 support level.

Summary

The GBPUSD price is consolidating in the price area around 1.3000. Today, the market is focused on the US Federal Reserve rate decision and Jerome Powell’s press conference.