GBP/USD (current price: 1.4670)
The Pound retreated on Thursday as some negative news came out regarding the British economy. The quarterly GDP was 0.4%, in line with the consensus estimate, but Business Investments declined sharply painting a more bearish picture of the growth prospects for the nextfew quarters. Mortgage Approvals also fell to 40,200, as banks are getting cautious before the Brexit vote in June. The pair is currently stuck between the support near 1.465 and the key resistance at 1.475, but the underlying trend remains bullish.
Our assessment: Cable might be ready for another leg up following yesterday’s short-term correction. All eyes are on the 1.476 level and the declining 200-day MA.
