GBPUSD Movement
For the 24 hours to 23:00 GMT, GBP rose 0.20% against the USD and closed at 1.6094, after Ben Bernanke stated that unemployment rate in the US is likely to remain high for some time, despite a decline in the jobless rate in December and January.
On the economic front, the visible trade deficit in the UK widened to £9.2 billion in December, compared to a revised £8.5 billion deficit recorded in the previous month. Additionally, the total trade deficit widened to £4.8 billion in December, following a revised £3.9 billion deficit in November.
Moreover, BRC shop price index in the UK rose 2.5% in January 2011 from 2.1% in December.
The pair opened the Asian session at 1.6094, and is trading more or less flat at 1.6097 at 4.00GMT.
The pair has its first short term resistance at 1.6139, followed by the next resistance at 1.6181. The first support is at 1.6041, with the subsequent support at 1.5985.
GBP is likely to receive increased market attention, with BoE interest rate decision, and industrial production data in the UK, due to be released later today.
The pair is showing convergence of its 20 Hr and 50 Hr moving averages.
