GBPUSD: Although GBP is trying to put in a temporary bottom following its declines initiated from the 1.5380 level, its Mar 22'10 high, risk is still seen toward its 2010 at 1.4782. A break and hold above the 1.5110 level, its Mar 23'10 high will convince the market that the mentioned bottom is in place. This will open the door for a follow-through higher towards the 1.5343/80 levels, its Feb 19'10 low/Mar 17'10 high with a turn above that level resuming its corrective recovery towards the 1.5574 level, its Feb 23'10 high where a cap is expected. However, if its current strength fades and it turns lower, then a recapture of the 1.4782 level will come into focus where a decisive break and close below there will set the stage for further downside towards the 1.4511 level, its April 26'10 low followed by its April'09 low at 1.4396. Overall, while GBP still retains its consolidation bias, threats of a recapture of the 1.4782 level continues to loom.

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