GBP/USD Crumbles, Breaking Under 1.57

GBP/USD Crumbles, Breaking Under 1.57

GBP/USD Open 1.5695 High 1.5805 Low 1.5673 Close 1.5688

On Monday Pound/Dollar resumed decreasing with 130 pips. The Cable depreciated from 1.5805 to 1.5673 yesterday, in line with the negative money flow sentiment at almost -19%, closing the day at 1.5688. Today the British Pound is trading quietly, with movements at the lower end of yesterday's range for the time being.

On the 1 hour chart the downward channel looks good, while on the 3 hour chart new downward channel has formed. First resistance is yesterday's peak at 1.5805. Break above it should extend the bullish movement further towards 1.5930. The nearest support level is yesterday's bottom at 1.5673. Going bellow it should extend British Pound's reduction further down towards next downward objective 1.5550.

There are no major economic events for UK today.

Quotes are moving bellow the 20 and 50 EMA on the 1 hour chart, indicating bearish pressure. The value of the RSI indicator is negative and calm, MACD is negative and tranquil too, while CCI has thinly crossed down the 100 line on the 1 hour chart, giving over all light short signals.

Technical resistance levels: 1.5805 1.5930 1.6064
Technical support levels: 1.5673 1.5550 1.5417