FXstreet.com (Barcelona) - The Pound continues trading lower after its reversal from 1.6050, and the pair has dipped below intra-day low at 1.5930 to levels right above 1.5900 at the time of writing.

Support levels, at the moment, lie at 1.5880 and below there 1.5770 (Sept 28 low) and 1.5755. On the upside, resistance levels remain at 1.6005/20, and above here 1.6050 intra-day high and 1.6125 (Sept 30 high), and 1.6200.

According to Stoyan Mihaylov, technical analyst at Deltastock.com, a clear break below 1.5900 could kick up a sell off towards 1.5766: A clear break below 1.5901 is to be expected and it will initiate a massive sell-off for 1.5766, en route to 1.5352. The intraday bias is already negative with the recent break below 1.5961, so expect current rebound above 1.5937 to be corrective in nature and to give an entry point for the next leg downwards, to 1.5834.

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