Cable rallies on hawkish BoE

GBPUSD kept positive tone in early Thursday, after being boosted by weaker dollar on dovish Fed on Wednesday and accelerated higher on more hawkish than expected Bank of England.

Fresh strength emerged from 1.2500 zone where recent pullback was contained by 200DMA and left a double bottom

Bulls accelerated on Thursday, advancing s over 1% during European and early US session, with probe through pivotal barriers at 1.2720/33 (Fibo 61.8% of 1.3141/1.2037 downtrend / former top of Nov 29) generating fresh signal of continuation of larger uptrend, though close above these levels is required to confirm signal.

Next targets lay at 1.2800 (round figure) and 1.2881 (Fibo 76.4%), but bulls may take a breather en-route, as daily studies are overbought.

Res: 1.2800; 1.2850; 1.2881; 1.3000
Sup: 1.2720; 1.2680; 1.2611; 1.2589