Forex: GBP/USD falls to test 1.5100 ground

FXstreet.com (Barcelona) - Disappointing GDP figures in the UK sent the GBP/USD off 1.5170/80 to test the psychological level at 1.5100 as the market starts its preparations for the NY opening. The annualized GDP in the UK was actually of 0.2% growth in Q4, instead of the expected 0.3%. The Current Account deficit improved less than expected, from £-15.074B to £-14.037B (consensus at £-12.700B). Not as bad as expected was Total Business Investment, that fell from 3.8% to -0.8% in Q4, beating consensus of -1.2%.

Ahead in the economic calendar is US pending home sales and Fed’s Kocherlakota speech. Just released was US MBA mortgage applications that rose 7.7% in the week ending at March-22, retracing the previous week’s drop by -7.1%.

“The GBP/USD currency pair continues forming a correction. We think today the price may renew its minimums a little bit”, wrote Roboforex.com analyst Igor Sayadov. “Later, in our opinion, the pair may start forming another ascending structure towards the target at 1.5350”, he added.