The Sterling remains within the higher realms of its values against the USD even after it lost some ground to the greenback on Friday. The Sterling finds itself comfortably within the stronger parts of its range. The question is if this will continue in the long term. There is very little data from the U.K. today on the calendar, but tomorrow the Manufacturing Production, Trade Balance, and Industrial Production statistics will all be brought forth. On Wednesday the BoE Inflation Report is on the schedule and this is likely to underscore that the U.K. economy remains in an awkward place like its major counterparts. For the time being talk of a double dip recession has worn thin and not finding much voice, but concerns remain for long term prospects. The GBP has done well the past month and traders are certain to find a test of its ranges continue this week.
Written by bforex.com