Pound Extends Breakout as GBP/USD Tops 1.3500

Written by Sandra Leggero

Sandra Leggero has a background in financial markets, having spent more than 9 years in commodities trading for several European and Asian companies. She holds a degree in Economics from the University of Pavia and specializes in emerging markets.

, | Updated: April 14, 2026

Key Moments

GBP/USD advanced to around 1.3515, extending gains as risk sentiment stayed supportive.
The US Dollar Index fell to a fresh six-week low near 98.30 amid optimism over US-Iran discussions.
Markets are focused on upcoming remarks from BoE Governor Andrew Bailey at 16:05 GMT for further policy clues.

Risk-On Mood Lifts Sterling Against the Dollar

The British Pound continued to appreciate against the US Dollar during the Asian session on Tuesday, with GBP/USD trading close to 1.3515. The pair pushed higher as broader market appetite for risk-oriented assets remained firm, supported by constructive comments from United States President Donald Trump and Vice President JD Vance on efforts to secure a lasting ceasefire with Iran.

At the time of writing, S&P 500 futures were broadly unchanged after gaining more than 1% on Monday, underscoring a risk-on backdrop. In parallel, the US Dollar Index (DXY) – which measures the Greenback against a basket of six major currencies – slipped to a new six-week trough near 98.30, adding support to the upswing in GBP/USD.

US-Iran Developments Undermine the Dollar

Speaking at a press conference on Monday, US President Trump stated, “We’ve been called by the other side, and they want to make a deal very badly,” and added that the blockade on Iranian ports had started.

Earlier, US Vice President JD Vance told Fox News that talks with Iranian representatives in Pakistan were “productive”, while emphasizing that it remains Iran’s responsibility to determine the next step. The more optimistic tone around negotiations has encouraged demand for risk assets and weighed on the US Dollar.

Focus Turns to BoE Governor Bailey’s Remarks

On the UK side, attention is now turning to comments from Bank of England Governor Andrew Bailey. He is scheduled to take part in a panel discussion at Columbia University at 16:05 GMT. Market participants are looking to his remarks for any hints on the outlook for UK interest rates and the broader policy stance.

GBP/USD Technical Overview

GBP/USD was trading near 1.3515 as of the latest quotes, extending its advance after breaking through a key resistance zone around 1.3500. This move keeps the near-term technical tone biased to the upside.

The pair is holding above the 20-day exponential moving average (EMA), currently situated at 1.3373, indicating that the recent recovery remains technically supported. Momentum signals also lean bullish, with the Relative Strength Index (RSI) attempting to push above the 60.00 area, suggesting that buyers still have the upper hand in the short term as price action pulls away from the recent short-term trend line.

On the downside, the initial area of support is aligned with the 20-day EMA around 1.3373. A sustained break below that level would put the immediate bullish structure at risk and could pave the way for a deeper corrective phase. While GBP/USD trades above this moving average, dips are expected to draw buying interest, with the technical setup favoring an extension of gains toward the February 26 high at 1.3575 and then the February 11 high at 1.3713.

(The technical analysis of this story was written with the help of an AI tool.)

Key Technical Reference Levels

Level	Description	Value
Spot price	Current GBP/USD level (as of writing)	1.3515
Initial resistance	Broken key resistance area	1.3500
20-day EMA	First support and bullish threshold	1.3373
Next upside target	February 26 high	1.3575
Further upside target	February 11 high	1.3713

Economic Indicator: BoE Governor Bailey Speech

Andrew Bailey serves as Governor of the Bank of England. He assumed the role on March 16th, 2020, succeeding Mark Carney. Prior to becoming Governor, Bailey was Chief Executive of the Financial Conduct Authority. His earlier positions at the Bank of England included Deputy Governor from April 2013 to July 2016 and Chief Cashier from January 2004 to April 2011.