Is this the new consensus trade for investors?

Sterling has boomed since mid-April and some analysts say the rally could run way beyond next month's national election, despite concerns that no party will be able to form a majority government.

The pound hit a fresh 7-week high against the dollar on Tuesday, shrugging off new data that showed U.K. growth slowed in the first quarter, missing market expectations. The currency has appreciated 4.5 percent since the middle of April, although it is still lower on the year against the resurgent greenback.

"I think we're at that point now, if the dollar's going to break down, then what is that candidate that's going to be that lead for the stronger currency? I think sterling has to be that lead, we've pushed through some big levels technically," David Sneddon, head of technical analysis at Credit Suisse, told CNBC on Monday.

With sterling trading around $1.5298, Sneddon forecast the currency would push back up to $1.5550 or $1.5570 in the short term, with a "broader move" taking it still higher in the medium term.