FXstreet.com (Barcelona) - The Sterling is going through a harp sell-off as the pair has dropped more than 100 pips falling from 1.6610 to levels below 1.6500 on the back of BoE governor King comments about BoE's idea of reducing interests paid on its banks deposits.

At the moment the Pound trades at 1.6492, with next support levels at 1.6485 (Sept 8 and 10 low) On the downside, support levels are 1.6490/00 and 1.6340. Resistance levels could be at 1.6525 Sept 14 low, and 1.6550.

EUR/GBP decline from 0.8830 was held at 0.8770, and the Euro rose to a fresh 3-month high at 0.8843. Next resistances are 0.8870 and 0.8875. On the downside support levels are 0.8830 and 0.8770.

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