Dollars To Pounds - Daily Spot Market Chart GBP/USD 13th May 2009

Dollars To Pounds - Daily Spot Market Chart GBP/USD 13th May 2009

Bruised but undented by yesterday’s leaking of the UK unemployment data which showed a further increase of almost 250k job losses in Q1, the worst in over 20 years, the British Pound continued to move higher against the US dollar reinforcing the view that it is oversold, and closing the day on a wide spread up bar with the low of the day bouncing off the 9 day moving average.  With all three moving averages pointing higher and with the breakout from the sideways consolidation of Q1 now complete we should see a period of sustained bullish momentum for the pair as prices continue to move higher to re-test the 1.56 region initially followed by a longer term target of 1.5920 and above.    Today’s fundamental news on the economic calendar for the dollars to pounds pair is dominated in the UK by the BOE inflation report delivered by Governor Mervyn King and this is currently being released to the market as I write.  All the other fundamental news on the economic calendar for the US dollar is covered in detail on the euro to dollar site.  My trading suggestion for today is to look for buying opportunities in the shorter time-frame charts with a view to building medium term long positions as we break above 1.53 and higher.

You can keep up to date with all the latest fundamental news on the economic calendar, latest currency news and live currency charts by simply following the links.  I have also included details on an excellent ECN broker.