The new inflation news from BoE on the GBP stated that the inflation will be higher. I would have expected the GBP to go down. Instead, GBP/USD runs up. Is this only because USD is going down? Would really appreciate any reasonable explanations on the current movements. Thank you very much!
Why are you trading on the news? Chart of GBP/USD has strong upside momentum. "It's not possible to react to your way to investment success." (can't remember who said that, but relevant quote)
BoE stated they may raise rates soon, which would be before the Fed and ECB. FX trades on rate differentials and trends towards long term ppp equilibrium (law of one price).