FXstreet.com (Barcelona) - Pound's rally from Friday's low at 1.6285 has been capped at 1.6445 during the European session time and the Pound, unable to break above there,m has eased to 1.6380, to bounce and reach 1.6400 at the moment of writing.

Initial support comes at 1.6275/80 (Aug 28/Sept 1 high) and below there, 1.6325 and 1.6270. On the upside, initial resistance level lies at 1.6445 (Intra-day high/Aug 25 high), and above there, 1.6505 and 1.6620 (Aug 21 high).

According to Peter Rosentreich, technical analyst at ACM - Advanced Currency Markets longs could lack sustained volume, thus the odds for a breach of intra-day high are rather low: The pair is well above its 200 day moving average suggesting a longer-term bull trend, but there a strong caution for longs would be the lack of sustained volume in the marketplace. 50d MA at 1.6439 should cap the pairs upside intraday.