• GBP/USD strengthened on Monday as U.S. dollar dipped as investors turned their attention to the release later this week of key U.S. consumer inflation data.
• This week, an inflation reading in the U.S. and economic growth data for Britain will be parsed for more clues on how the economies are holding up.
• British finance minister John Healey tried to set out a brighter vision for the economy ahead of the annual budget, in his first speech since taking office.
• Trading volumes on UK exchanges were well below their one-month average as U.S. markets were closed for a holiday..
• Immediate resistance is located at 1.3560(SMA 20), any close above will push the pair towards 1.3593(50%fib)
• Strong support is seen at 1.3495(38.2%fib) and break below could take the pair towards 1.3453(Lower BB).
Recommendation: Good to sell around 1.3560, with stop loss of 1.3650 and target price of 1.3480
