GBP/USD bears are relentless

By FXstreet.com | Updated August 21, 2014 AAA

FXStreet (Guatemala) - GBP/USD is trading at 1.6590, down -0.03% on the day, having posted a daily high at 1.6603 and low at 1.6564.

GBP/USD chart patterns are warning us of lower key levels that could be seen in the not too distant future and attracts further offers to the table. Camilla Sutton, CFA, CMT, Chief FX Strategist at Scotiabank noted how the GBP is soft, having dropped to a fresh five month low. "Today’s retail sales were mixed weaker than expected including auto’s but as expected ex‐auto. For GBP the key is deciphering the BoE’s signal…It is too early to fight the downward GBP trend; however with the BoE still expected to be the first of the G4 to raise rates we do expect GBP to ultimately recover some of these recent losses; but for near‐term traders the risk is further downside first."

GBP/USD hourly levels

With spot trading at 1.6591, we can see next resistance ahead at 1.6592 (Hourly 20 EMA), and 1.6603 (Daily High). Support below can be found at 1.6590 (Yesterday's Low), 1.6564 (Daily Classic S1), 1.6540 (Weekly Classic S2) and 1.6532 (Daily Classic S2).

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