FXstreet.com (Barcelona) - Pound's rally from Monday's low at 1.6130 has stalled at 1.6410 high, as the Pound hailed to break above 1.6400 resistance area, and the pair has eased on early European session to test 1.6340 support, ahead of the release of BoE minutes of September's monetary Policy meeting.
At the moment next support levels lie at 1.6340, and below here, at 1.6300 and 1.6235. On the upside, resistance levels lie at 1.6400 (Sept 15 low), and above here, 1.6430 (Sept 16 low) and 1.6485.
Concerning next sessions, Ian Coleman, collaborator at FXstreet.com foresees the Pound dropping below 1.6200 if the pair breaks below 1.6342 area: Two good reasons for the advance to stop/stall this morning. We have previous trend line and 61.8% of the last move higher. A break of 1.6342 would take us back to test 1.6160 area. A break of the trend line at 1.6419 would take us to 1.6511 then possibly to 1.6570. With the possible Head and Shoulders on the Daily chart, I favour another test to the downside.