The final release of British GDP was slightly better than the second one, but in line with the first – the economy squeezed by 0.5% in Q4 of 2010. GBP/USD doesn’t cheer up. The bad weather that the UK experienced towards the end of 2010 contributed to fall, but it’s apparent that the economy would be at least frozen, with GDP unchanged, even in normal conditions. Britain, that was late to return to growth after the global financial crisis, is finding it hard to recover. GBP/USD managed to get back above 1.60 before the release, but is now dropping towards this line. A break below this line will open the road to support is found at 1.5940, a line that was challenged by cable yesterday, as talks about defaulting Irish banks meant that British banks would suffer as well, being extremely exposed to them. 1.6110 is resistance above, followed by 1.6280-1.63, which was only temporarily broken last week. For more technical levels and further events in this busy week, see the GBP/USD forecast. The pound finds it hard to break out of range against the dollar, and is also losing ground to the yen and the euro recently. More data It’s been a busy morning regarding British releases: Britain’s current account showed a deficit of 10.5 billion, as expected. Net Lending to Individuals does provide hope, as it grew by 2 billion, far better than a 1.2 billion rise that was expected. More lending means more economic activity. The pound bulls do have to worry about a relatively less important figure, but a number that could impact the interest rate: M4 Money Supply, that was expected to rise by 0.7%, unexpectedly squeezed. Less money in circulation means less inflationary pressures. This could impact the timing of the rate hike in Britain, and could weaken the British pound on lower expectations. Yohay Elam Yohay Elam Yohay Elam: Founder, Writer and Editor I have been into forex trading for over 5 years, and I share the experience that I have and the knowledge that I've accumulated. After taking a short course about forex. Like many forex traders, I've earned a significant share of my knowledge the hard way. Macroeconomics, the impact of news on the ever-moving currency markets and trading psychology have always fascinated me. Before founding Forex Crunch, I've worked as a programmer in various hi-tech companies. I have a B. Sc. in Computer Science from Ben Gurion University. Given this background, forex software has a relatively bigger share in the posts. Yohay's Google Profile View All Post By Yohay Elam Forex News Today: Daily Trading News share Read Next EUR/USD Mar. 29 – Falling From Resistance Yohay Elam 12 years The final release of British GDP was slightly better than the second one, but in line with the first - the economy squeezed by 0.5% in Q4 of 2010. GBP/USD doesn't cheer up. The bad weather that the UK experienced towards the end of 2010 contributed to fall, but it's apparent that the economy would be at least frozen, with GDP unchanged, even in normal conditions. Britain, that was late to return to growth after the global financial crisis, is finding it hard to recover. GBP/USD managed to get back above 1.60 before the release, but is now dropping towards… Regulated Forex Brokers All Brokers Sponsored Brokers Broker Benefits Min Deposit Score Visit Broker 1 $100T&Cs Apply 0% Commission and No stamp DutyRegulated by US,UK & International StockCopy Successfull Traders 9.8 Visit Site FreeBets Reviews$100Your capital is at risk. 2 T&Cs Apply 9.8 Visit Site FreeBets Reviews$100Your capital is at risk. 3 Recommended Broker $100T&Cs Apply No deposit or withdrawal feesTrade major forex pairs such as EUR/USD with leverage up to 30:1 and tight spreads of 0.9 pips Low $100 minimum deposit to open a trading account 9 Visit Site FreeBets ReviewsYour capital is at risk. 4 T&Cs Apply Visit Site FreeBets ReviewsYour capital is at risk. 5 Recommended Broker $0T&Cs Apply Trade gold, silver, and platinum directly against major currenciesUp to 1:500 leverage for forex trading24/5 customer service by phone and email 9 Visit Site FreeBets ReviewsYour capital is at risk.