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Forex pairs in this Article » GBP/USD (Edinburgh) - The sterling is following its European counterpart at the beginning of the week so far, trading on the back foot and currently bouncing off intraday lows below 1.5040 to the current area of 1.5060/65. Will be a key week for the pound as several important releases are due, although the most significant will be the BoE minutes on Wednesday.

In the opinion of Jane Foley, Strategist at Rabobank, “This failure of cable to break below the March low on a closing basis and the simultaneous signals of trend exhaustion in some technicals indicators suggests that the GBP1.4814/32 area will now offer very firm support. Coupled with the better tone of many UK data releases we would continue to favour buying cable on dips towards these levels”.

The Swiss bank UBS changed its outlook fro the pair to neutral from bearish. Strategists G.Berry and G.Yu commented, “The sharp advance is trading below the resistance at 1.5283; a closing break will expose 1.5394. Support is at 1.5018 ahead of 1.4814”.
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