• GBP/USD strengthened on Thursday after data showed the British economy grew faster than expected in March.
• UK economy grew faster than expected in early 2025, boosting finance minister Rachel Reeves, but challenges loom from business tax hikes and Trump’s trade wars..
• UK GDP grew 0.7% from January to March, up from 0.1% in late 2024, according to the ONS. That was above the 0.6% growth forecast of economists
• Business investment rose sharply by 5.9% from Q4 2024, the strongest growth in two years. Real GDP per head rose by 0.5% after two quarters of decline, indicating improved economic conditions for individuals, the ONS reported.
• Immediate resistance is located at 1.3423(23.6%fib), any close above will push the pair towards 1.3457(higher BB)
• Strong support is seen at 1.3233(38.2%fib) and break below could take the pair towards 1.3164(Lower BB).
Recommendation: Good to buy around 1.3270, with stop loss of 1.3200 and target price of 1.3390
