The British Pound gave me a buy signal today (8/23) on the daily charts with both the 9 and 20 day simple moving averages pointing up. The US dollar, after giving me a sell signal yesterday, continues to plummet. Typically as the dollar declines, the Pound rallies.
A UK GDP growth rate that was twice the size expected and a growing economic optimism in the Euro zone adds fuel to the fire for the bull camp. The British Pound seems to be continuing to rebuild long term value, especially since the UK is thought to have started the process of getting its fiscal house in order.
