Bank of England Monetary Policy Meeting March 2021 to Dominate Headlines

Posted by Adegbotolu Kehinde Erastus -
Scope Markets

Key points

  • Bank of England monetary policy committee to leave interest rates unchanged
  • Economic growth and inflation will be the focus
  • GBPUSD caught within a rising channel

Interest rates could be left unchanged and no amendments to the asset purchases during the Bank of England monetary policy meeting, focusing on economic growth and inflation. While rising yields have continued to gather attention lately, the Central Bank will interpret it as a sign that the economy is set for recovery.

The vaccination programme in the UK has continued to progress as the government has signalled that adults can receive their first dose by June. The BoE is less likely to worry about inflation as its forecast of 2% inflation target is yet to be achieved. Also, the Bank expects the economy to return to pre-pandemic levels at the end of the year.

With scarce economic data to boost the Pound sterling, the outcome of Thursday’s meeting will be one the investors will be anticipating. Should the Bank of England monetary policy meeting express optimism over the economy since it is less likely they sound dovish, the pound sterling might receive a major boost.

Technical outlook

GBP/USD 17 march 2021 Technical outlook
GBPUSD daily time frame

The pound sterling has maintained a relentless bullish momentum against the US dollar. On the daily time frame, the pair is trading within an ascending channel. Currently, the price is supported around 1.3850 on the channel, which is likely to trigger buying interest. The near-term resistance comes up at 1.4000.

With the Fed’s set to decide on interest rates and economic projection on Wednesday, a day before the Bank of England monetary policy meeting, the cable should be a currency pair traders might keep on their watchlist. A dovish Fed may trigger more buying pressure on the pound sterling which could see the pair maintain its bullish momentum within the channel. However, a convincing break below the channel could signal a trend change to bearish.

Share this article:

Disclaimer: The article above does not represent investment advice or an investment proposal and should not be acknowledged as so. The information beforehand does not constitute an encouragement to trade, and it does not warrant or foretell the future performance of the markets. The investor remains singly responsible for the risk of their conclusions. The analysis and remark displayed do not involve any consideration of your particular investment goals, economic situations, or requirements.

Funding Methods

Scope Markets
Scope Markets


Scope Markets
Scope Markets
Scope Markets
Scope Markets

Scope Markets offers institutional and retail trading services to businesses and traders worldwide. Our top management team has more than 20 years of experience in the industry, and we are proud of the solid partnerships we built over the years. Whether it's a business or individual, Scope Markets has a wide range of trading solutions that are compliant, flexible, cost-efficient, innovative, and place the client first.

Contact Us

Registered address:
6160, Park Avenue, Buttonwood Bay, Lower Flat Office Space Front, Belize City, Belize


+44 2030 516959

Risk Warning

Please note that forex trading and trading in other leveraged products involves a significant level of risk and is not suitable for all investors. Trading in financial instruments may result in losses as well as profits and your losses can be greater than your initial invested capital. Before undertaking any such transactions, you should ensure that you fully understand the risks involved and seek independent advice if necessary. Please read and ensure you fully understand our Risk Disclosure.

Legal Information

Scope Markets Ltd is a company registered under Belize with Registration Number 145,138. Scope Markets Ltd is authorized and regulated by the inancial Services Commission of Belize (“FSC”) under the license numbers 000274/325 and 000274/324. The registered address of Scope Markets Ltd is, 6160, Park Avenue, Buttonwood Bay, Lower Flat Office Space Front, Belize City, Belize.

Restricted Regions

Scope Markets does not offer its services to the residents of certain jurisdictions. Please read carefully our Restricted Countries document.

This website uses cookies to provide you with the very best experience and to know you better. By visiting our website with your browser set to allow cookies, you consent to our use of cookies as described in our Privacy Policy.

© Copyright 2022 Scope Markets. All Rights Reserved.