Resistance 3: 1.5480

Resistance 2: 1.5420

Resistance 1: 1.5350

Latest New York: 1.4826

Support 1: 1.4800/10

Support 2: 1.4760

Support 3: 1.4720

Rate falls back to start on follow-on selling; cross spreaders still pressuring EURO/GBP spread. Spillover from EURO likely but action still technical. Stops noted under 1.5100 and 1.5050 area; more likely under the 1.4980 area. Rate recovers from lows in early New York to trade back above the 1.5000 area. Stops above the market likely now in the 1.5180 area or above as late traders place risk close-in. Bears took a stand above the 1.5250 area last week; likely they will be back again so look for two-way action near-term. Sellers likely active suggesting a dip back to potential support around the 1.4700 area although a close over 1.5100 today might negate that. Two-way and firmer action due to cross-spreaders liquidating EURO-Sterling; repatriation also lending to the firm tone.

Data due Tuesday: All times EASTERN (-5 GMT)

4:30am GBP Trade Balance

4:30am GBP DCLG HPI y/y

5:00am GBP CB Leading Index m/m

Forex Analysis written by Jason Alan Jankovsky, featured by