18 Jun 2009

GU Analysis:
The British unemployment rate in the three months ending in April rose to 7.2%, up from 6.5% in the three months to January. Despite the lower Claimant than previous, the pound began its decline from 1.648 to 1.622. It rebound during US trading sessions with Consumer prices rose less than expected in May and posted the steepest annual drop in 59 years, according to government data released Wednesday, fresh evidence that the recession is keeping inflation in check.

Late in the night, BoE says Bank need more capital.

Prices has been fluctuate between the EMA200 line in the 1-hour chart at 1.636. Resistance at 1.648 and support at 1.622.

Which way will it go today? The last of UK major news is on
Retail Sales: This major economic indicator has shown strength last time by rising nicely - 0.9%. This time, expectations are more modest - a rise of 0.4%. British Retail Sales are released on Thursday at 1630 SGT.

Break the resistance and it will go to 1.66, break the support and it will hit 1.60.