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The British economy grew by 1% in Q3 2012, according to the first release of GDP. Expectations stood on a growth rate of 0.6%. This is a big surprise, probably bigger than the market had already anticipated.

GBP/USD already managed to recover and rise above the 1.60 line yesterday, as expectations rose towards a positive figure. It traded around 1.6060 before the official publication.

GBP/USD reached 1.6135 after the official publication of this positive surprise, but has lost some ground since then.

Prior to Q3 2012, the British economy experienced 3 quarters of recession, with Q2 2012 seeing the biggest contraction: -0.4%.

The most significant resistance line is at 1.63, but that is still far. Clear support is at 1.60. For more specific lines and events, see the GBPUSD forecast.