FXstreet.com (Jakarta) - The GBP/USD rose to just below the important 1.49-area resistance. The outlook has improved for global banks, and Goldman Sach reported better-than-expected earnings and wants to return the TARP money. The UK is particularly exposed to international banks so better bank earnings will likely support the pound.
The GBP/USD has broken its downtrend and established a bottom. If the 1.49-1.50 resistance is broken, the pair may rally to 1.60. We buy the GBP/USD with stop at 1.4450, said Hans Nilsson, analyst at CMS Forex.
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