Forex: GBP/USD range bound above 1.6100

FXstreet.com (San Francisco) - GBPUSD has so far traded a tight range between 1.6115 and 1.6153 Monday, last quoted at 1.6140. The pound is under some pressure against the U.S. dollar given fears for a triple recession in the United Kingdom.

Technically, "The GBPUSD, despite comfortable above 1.60, shows no intention on running higher, at least today," comments Valeria Bednarik, Chief Analyst at FXstreet.com. Bednarik also says that "extremes to watch are 1.6170 to the upside, and 1.6065 to the downside: break of either will see some more interesting momentum in the pair."

Key event risk for GBP this week includes Consumer Price Index, PPI and Retail Price Index figures for December, all due for release on Tuesday. Retail Sales figures for the UK are due on Friday.

Should GBPUSD manage to break above the upper extreme, further resistance is noted at 1.6200 and 1.6240, while a break of the lower boundary would open scope for a test of bids around 1.6020.