GBPUSD at make or break level ahead of a split BOEThe BOE faces a pivotal moment as it prepares to announce its latest interest rate decision.
With MPC members split between hawkish concerns about stubborn inflation and dovish worries over a weakening job market, expectations are swirling about the path forward.
Will the BOE signal a pause after this cut, or will inflation surprises force a more cautious, hawkish stance going into the end of the year?
Traders are watching for clues in the updated forecasts, as even a minor shift could spark major volatility in GBP/USD.
If the BOE sounds hawkish—maybe they raise their inflation forecasts, or the vote split shows strong resistance to further cuts, or they signal a pause in easing—then GBPUSD might have found a bottom for now.
On the flip side, if the BOE puts more emphasis on economic risks, reduces its GDP outlook, or if the vote split shows a strong push for even bigger cuts, then the pound could come under pressure.
On the charts, Cable is clinging to 1.3375, with a potential developing head and shoulders pattern threatening a deeper move lower if the neckline breaks.
Will the upcoming BOE decision be the make-or-break catalyst for the pound?
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