Daily Analysis - 19.04.2012

GBP/USD

The correction in the stock markets did not help the USD against most of the major currencies that continued strengthening against the American dollar. The pound investors were encouraged by improving economic data regarding the British economy, such as lower unemployment rate and lower unemployment claims.

On the technical aspect, the pound is trying to break through the strong resistance at 1.60, which it has failed to do during the last couple of months. If it succeeds, we might see the pair around the 7-months high at 1.6150. However, if it fails, the seller might take the pound under 1.59 again.