By: Colin Jessup
The GBP/USD or Sterling as it is known, broke and closed above 1.5800 today and has held the zone around 1.5805 all the way through the Asian market session. Optimism from investors that the EU will be able to execute a second bail out deal for Greece has strengthened most of the European markets while the USD Greenback has taken some heat. Bullish pressure still seems to dominate in the hours before the London open, but the pair hasn't really moved since the New York close. Support at 1.5775 and especially 1.5700 will need to hold in order to see the Bullish tenancies continue. Below 1.5700 is choppy with support levels at 1.5680 and 1.5605. Be mindful of the Consumer Price Index reports from both USA and Canada tomorrow which could add some strength to the Greenback later in the New York session. I am bullish on the Sterling above 1.5800.
Happy Trading!