Just breaking through another big round number at 1.6300, Pound seems destined to outperform all its rivals this week on the back of better than expected UK data and a shift in investors sentiment regarding high yield Euro; ahead of ECB and with sovereign debt jitters, Pound seems more attractive right now.
On Tesday, Pound soared almost 200 pips from a low at 1.6090 to close NY at 1.6293. This meteoric rise comes after a recovery first staged at 1.5970 on April 1. From a tecnical view: “Pair holds the bullish tone, as s long as above 1.6260 immediate support. Bigger time frames show indicators slightly exhausted, yet far from turning lower”.
Support levels: 1.6260 1.6220 1.6170, Resistance levels: 1.6330 1.6365 1.6400(FXST/HQM)