FXstreet.com (Barcelona) - The Sterling has capped its recovery against the Dollar at the 1.5910 resistance after rising around 40 pips from 1.5875 in the European opening session. Cable has fallen back 55 pips to break yesterday's low at 1.5865 and hit fresh 2-month minimum at 1.5855.
Currently the pair is trading around 1.5860/70, 0.25% below today's opening price action at 1.5900.
The Varengold Bank Research Team affirms: Except one time the GBP has been trading in a bearish trend-channel since November. After the currency pair fell below its first pivot support point last week the bulls tried to recover but failed yesterday at the pivot point and weakened subsequent to the first pivot support point of this week. The DMI may indicate decreasing bearish force, but if the pivot support will also break the GBP could fall to the lower trend-channel line.