Forex: GBP/USD: Pound breaks below 1.6300

By IBTimes Staff Reporter | September 18 2009 5:22 AM

FXstreet.com (Barcelona) - Pound's recovery from 1.6300 European session low has been halted at 1.6375, and the Sterling has resumed its downtrend to break below 1.6300 dropping to a fresh 2-weeks low at 1.6265.

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On the downside, initial support level lies at 1.6235 (Sept 3 low), and below there, 1.6200 and 1.6115 (Sept 1 low). On the upside, a rebound above 1.6300 could meet resistance at inital resistance level lies at 1.6395/00, and above there, 1.6455 and 1.6540.

According to Mohammed Isah, technical analyst at Charmer Charts, the Pound remains biased to the downside: GBP remains biased to the downside nearer term and was seen weakening through its MT rising trendlinedrawn off the 1.3652 level currently at 1.6350 today. Ultimately invalidating that level on a weekly closing basis will create a chart damage and open up further risk lower towards the 1.6111 level, its Sept 01'09 low with a loss of the latter pushing the pair additionally lower towards the 1.6000 level, its psycho level and then the 1.5982 level.

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