UK Consumer Confidence slipped to -21 from -19 in January coming in well below forecast. This being said the British Pound (GBP) has managed to hold onto gains Monday extending last week’s rally from 1.9190 (0.5210) to 1.9400 (0.5155). Broad based momentum is firmly with the GBP after starting the year at 1.8250 (0.5480). We are picking a retest of the yearly low at 0.5120 (1.9520) over the coming days as the current trendline supports. Aussie Retail Sales at the end of the week could give us some AUD upside with predictions of a decent number printing.
Current Level: 0.5152
Support: 0.5130
Resistance: 0.5200
Last week’s range: 0.5173- 0.5210