The Fed is expected to raise interest rates by 75bps on Wednesday. The BoE is expected to deliver a 50 or 75bps rate hike. Britain’s challenges stem from opposing monetary and fiscal policies. Today’s GBP/USD outlook is bearish. However, this might change as the pair will likely consolidate with Britain observing a public holiday. This consolidation might go into tomorrow’s trading session as investors will be cautious ahead of the FOMC meeting on Wednesday and BoE’s rate decision on Thursday. –Are you interested to learn more about Forex demo accounts? Check our detailed guide- Stronger-than-expected inflation numbers have increased expectations for how active policymakers need to be to control consumer prices, making Wednesday’s Fed meeting even more important. The Fed is expected to raise rates by 75bps, but some are ready for a full percentage point increase, which was unthinkable only a few days ago. Investors will pay attention to Fed Chair Jerome Powell’s views on the pace of monetary tightening, the resilience of the US economy, and inflation. To combat inflation, the BoE plans to increase interest rates on Thursday by 50 or 75 basis points. Britain’s new finance minister, Kwasi Kwarteng, is expected to submit his first fiscal statement on Friday to fulfill Liz Truss’ promise to undo the increase in social security contributions that took effect in April and the upcoming increase in corporate tax. Opposing monetary and fiscal policy directions highlight the challenges for Britain, which has the highest inflation rate among the world’s top developed economies and faces a recession. GBP/USD key events today The United States will not release important news today while the UK is observing a public holiday. Get FREE Forex Signals Now! GBP/USD technical outlook: Downtrend continues below 1.1425 The 4-hour chart shows the price trading below the 30-SMA and the RSI below 50. This market belongs to sellers, and they look ready to push the price lower. The downtrend began when the price broke below and retested the 30-SMA and 1.1584 key level. Since then, the price has decreased, breaking below the next support level at 1.1425. It paused at 1.1360, which might become a solid support level. –Are you interested to learn more about CFD brokers? Check our detailed guide- The price is currently retesting the 1.1425 level as resistance and is showing signs it might push off this level and collapse further. The downtrend will continue if the price breaks below 1.1360 and stays below the 30-SMA. Looking to trade forex now? Invest at eToro! Trade Forex Now! 68% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you can afford to take the high risk of losing your money. Saqib Iqbal Saqib Iqbal Saqib Iqbal is a market analyst, prop fund trader and mentor, serving the industry with his analysis and educational content since 2011. The author has great exposure to different financial markets and institutions. He's well-known for his day trading reviews and multiple timeframe analysis. View All Post By Saqib Iqbal Majors share Read Next Beastlike Partners With NFT Signals Before Much-Anticipated Mint Gary McFarlane 1 day The Fed is expected to raise interest rates by 75bps on Wednesday. The BoE is expected to deliver a 50 or 75bps rate hike. Britain's challenges stem from opposing monetary and fiscal policies. Today's GBP/USD outlook is bearish. However, this might change as the pair will likely consolidate with Britain observing a public holiday. This consolidation might go into tomorrow's trading session as investors will be cautious ahead of the FOMC meeting on Wednesday and BoE's rate decision on Thursday. -Are you interested to learn more about Forex demo accounts? Check our detailed guide- Stronger-than-expected inflation numbers have increased expectations… Regulated Forex Brokers All Brokers Sponsored Brokers Broker Benefits Min Deposit Score Visit Broker 1 $100T&Cs Apply 0% Commission and No stamp DutyRegulated by US,UK & International StockCopy Successfull Traders 9.8 Visit Site FreeBets Reviews$100Your capital is at risk.2 T&Cs Apply 9.8 Visit Site FreeBets Reviews$100Your capital is at risk.3 Recommended Broker $100T&Cs Apply No deposit or withdrawal feesTrade major forex pairs such as EUR/USD with leverage up to 30:1 and tight spreads of 0.9 pips Low $100 minimum deposit to open a trading account 9 Visit Site FreeBets ReviewsYour capital is at risk.4 T&Cs Apply Visit Site FreeBets ReviewsYour capital is at risk.5 Recommended Broker $0T&Cs Apply Trade gold, silver, and platinum directly against major currenciesUp to 1:500 leverage for forex trading24/5 customer service by phone and email 9 Visit Site FreeBets ReviewsYour capital is at risk.