GBPUSD Trades at Highest Since 2009, UK GDP to Show Economic Pickup
- British Pound Trades at Highest Level Since 2009
- GBPUSD to Eye Fresh Highs as U.K. GDP Highlights Stronger Recovery
- British Pound Looks for a Lifeline Following Bank of England Minutes
The British Pound rose against the US Dollar to trade at the highest level since 2009. In what is a quiet European session there is no obvious news-flow that may have sparked a rally in GBPUSD. On Tuesday, U.K. first quarter GDP is released and is expected to show a pick-up in activity.
“The fundamental developments coming out of the U.K. may continue to heighten appeal of the British Pound,” says DailyFX Strategist David Song, “BoE Governor Mark Carney may adopt a more hawkish tone for monetary policy as the outlook for growth and inflation improves.”
DailyFX Technical Strategist Kristian Kerr says this could be the start of a next leg higher. “GBPUSD has stalled just below the 1.6850 area…, [and this area] needs to be overcome to confirm the start of a new leg higher in Cable,” says Kerr, “a daily close under 1.6710 would turn us negative on the pound.”
GBPUSD Daily Chart from Price and Time: Gold Cracks Big support
Chart Prepared by Kristian Kerr using FXCMMarketscope 2.0.
-- Written by David Maycotte, DailyFX Research Team. Questions, comments or concerns can be sent to email@example.com.
Want to trade with proprietary strategies developed by FXCM? Find out how with Mirror Trader.
DailyFX provides forex news and technical analysis on the trends that influence the global currency markets.