FXstreet.com (Barcelona) - Pound's recovery from Monday's low at 1.5770 has extended on Wednesday to levels above 1.6100 at the moment of writing, as the Sterling reaches resistance area at 1.6110; 0.92% above its day opening level.

Current appreciation is corrective in natire, according to Karen Jones, technical analyst at Commerzbank, who warns about the possibility of a reversal from current levels: We look for near term corrective rebounds to ideally remain capped by 1.6110/50 (break down point for the top pattern) and while capped here the immediate outlook remains negative.

On the downside, Jones sees the Pound targeting 1.5690/10: We continue to target initially 1.5690/10 (Fibonacci retracement and the 55 week ma) and then 1.5270. Slightly longer term it should be noted that the top measures to 1.5135.