The GBP/USD currency pair ended last week marginally in favour of the pound despite an earlier significant move to the downside which was held near 1.5870 support. GBP is actually one of the strongest currencies when referencing the “recent strength” charts (vs 7 majors) as shown below on 4 hour and daily periods. Event risk is significant this week with the Euro-zone debt situation seemingly under control for now… but as we know from recent events market sentiment can change very quickly and government bond yield spreads could soon move aggressively against Greece and Italy; the BOE quarterly inflation report ... (full story)