Pound To Dollar - Daily Forex Chart 22nd April 2009

Pound To Dollar - Daily Forex Chart 22nd April 2009

There is only one item of relevant fundamental news on the economic calendar for cable today which is, of course, Chancellor’s last Budget before the next General Election, and I always say if you are going to leave then leave them laughing and this will not be the case today.  Indeed until late last night the UK Treasury was at daggers drawn with the IMF whose prediction for UK debt to reach $200bn was hastily withdrawn from its website with a cryptic note to the effect that this particular data set was under an embargo.  Clearly the Treasury and probably, Prime Minister Brown, had applied a degree of pressure to have this data taken down in advance of today’s budget announcements.  It fails to amaze me how some of the allegedly greatest economic minds are so useless when it comes to money!  In the meantime the market waits for Chancellor Darling’s figures.

From a technical perspective the British Pound rose against the US dollar yesterday, recovering some of Monday’s losses but closing well below both the 9 and 14 day moving averages and certainly not significant enough to suggest that Cable is ready to push higher at this stage, and my trading suggestion remains the same as for yesterday, ie to continue to look for small short positions intra day on the 15 and 30 minute charts with tight stop losses and small profit targets.   For Cable bulls, the price has to close above 1.5 for any long term rally to start.

All the fundamental news relating to the US is covered on the euro dollar site.  You can keep up to date with all the latest fundamental news, latest currency news and live currency charts by simply following these links.  In addition I have also included details of an excellent ECN broker.