The pound strengthens its position. On the positive forecast of UK GDP growth

The British pound rose by more than 60 points on the back of a positive forecast for GDP growth and comments by UK Finance Minister Hammond. In his statement, Hammond noted that the UK economy meets the future with “extraordinary strength”, the forecast for GDP growth in 2018 was raised from 1.4% to 1.5%. The budget deficit will be 2.2% of GDP in 2017-2018 and 1.8% in 2018-2019 fiscal year.

Technical Analysis: Against the background of positive forecasts for UK GDP growth, the pair GBP / USD rose to 1.3960, which corresponds to the level of 38.2 Fibonacci on H4. In case the pair consolidates above the 1.3960 mark, we should expect its further growth to the levels of 1.4000, 1.4030.

Fig. Graph GBP / USD. The current price is $ 1.3957.

Alexander Sivtsov