Forex: GBP/USD extends the correction

FXstreet.com (Barcelona) - The sterling continues to correct lower from session highs above 1.5180 on Wednesday, hovering over the region of 1.5125/30 at the moment.

Better-than-expected GDP figures from the fourth quarter in the British economy propped up the GBP upside, although losing grip around 1.5180. According to the research team at Brown Brothers Harriman, “It needs to establish a foothold above 1.5250 to give greater assurances that a base is being formed”.

As of writing, the GBP/USD is up 0.04% at 1.5130 facing the next hurdle at 1.5219 (high Feb.26) followed by 1.5296 (MA10d) and then 1.5330 (high Feb.22).
On the flip side, a breakdown of 1.5073 (low Feb.25) would open the way to 1.5033 (Lower Bollinger) ahead of 1.4949 (low Jul.12 2010).

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