Pounds To Dollars Daily Currency Chart - Latest Price 2nd June 2009

Pounds To Dollars Daily Currency Chart - Latest Price 2nd June 2009

Yesterday’s wide spread up bar on the pounds to dollars currency pair added further momentum to the bullish tone closing the day above 1.64 and bringing our initial target of 1.65 firmly into view.  With all three moving averages pointing sharply higher there is little on the daily chart for the dollars to pounds pair, to suggest that this move is likely to end any time soon and with the dollar index showing continued weakness for the US dollar this is helping to add further weight to the bull move.   Should we close and hold above 1.65 then we may well see a move to re-test the 1.69 region which is the next area of minor resistance followed by a re-test of major 1.75 which is the next area of major resistance.

Items of fundamental news on the economic calendar this morning for cable included construction PMI data, net lending to individuals, and mortgage approvals, all of which exceeded forecast, no doubt providing a small scintilla of home for the UK’s embattled “beloved leader” Brown!!  Meantime in the US we only have pending home sales which are forecast to come in at 0.4% against a previous of 3.2%.

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.