The greenback has become well buoyed as it has been relief in the market
that there is no soon interest rate cut in US in the same time the
currency market is pricing on a waited .25% hike in EU and UK. Trichet has
said it recently that it is vigilant after the ECB last meeting.
Also the recent MPC voting release has shown an unanimous voting to hike
and a discussion of .5% hike which has elevated the readiness of the
waited hike from later to sooner which supported the pound to retest 1.99
again but weak mortgages data have been bought fast by the currency market
fueled by the consumer confidence figure from US which has reached 108 in
May. It looks that there is no further data to buy the pound for and there
can be room to correct its rally to 2.013 versus the greenback by gods
will.
Best wishes

FX Consultant

http://www.fx-recommends.com