GBP/USD: Current 1.5205 (Sunday, March 14, 2010). 

Trend: Correction during downtrend.

Please refer daily charts and not short-term charts e.g. hourly charts.

Please note the following:

1) UK: The economic releases for trade balance and manufacturing have not been good.

2) US: The recent economic releases from US have been generally good. Retail sales and trade balance reports were quite good but employment reports were negative.

Analysis: GBP/USD is having a volatile sideways movement during a downtrend. 

Last week we had mentioned “The currency pair should remain under downward pressure for some time but we expect GBP/USD to move upwards to 1.5280 or possibly 1.5350 in the coming days before testing a low again”. The currency pair moved as we had expected and we still maintain the same stand. But there are no strong trade configurations and we will not be taking a longer-term position for this currency pair.

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For short term trades, please refer to daily technical analysis for GBP/USD.