Published: Wed, 20 May 2009 16:06:00 +0200

Forex: GBP/USD jumps above 1.5600 and reaches 1.5625, new 6-months high

Fxstreet.com (Barcelona) - GBP/USD is rising with a strong pace in the last hour after the Wall Street opening, Cable has risen around 150 pips from 1.5475 to reach new 6-months at 1.5625. Currently the pair is trading in its highest levels around the 1.5620, 0.80% above today's opening price action.

US Market's gains have been widespread on Wednesday's session with companies such as American Express, Caterpillar or McDonalds booking strong gains. Financials, energy and basic materials have driven the S&P Index higher.

Valeria Bednarik, FXstreet.com collaborator, says: "Pair remains consolidating above the 1.5440 zone, and setting higher highs, signaling upside trend remains healthy at the time. Current candle opened just under the 20 SMA that turned flat, while indicators also suggest a downside correction. Watch the static 1.5440 level as confirmation under it will trigger more selling in the pair. New high above 1.5545 will deny corrections and sent the pair higher close to 1.5620, roof of a 4 hours ascendant channel. Support levels: 1.5440 1.5405 1.5380. Resistance levels: 1.5495 1.5520 1.5560 ."

By Fxstreet.com

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