Unlike The Euro and Swiss Franc, the GBPUSD didn’t benefit from Dollar weakness on Friday. This is not a surprise for since the market disappointed by BoE decision to keep expanding the quantitative easing program to 200b Pound that would increasing pessimism on UK’s economy outlook.
Technically, beside a Doji on daily chart, on h1 chart below we can see that the pair still trapped in triangle area indicating a consolidation. The bias remains neutral in both nearest and medium term and I think it’s better to stay out for now. I prefer a downside scenarioÂ but if we see more optimism about the world economy recovery, the downside momentum could be very limited and Sterling might get some support. Immediate support is seen at 1.6417 (Friday’s low). Break below that area could trigger further bearish pressure towards 1.4350. Initial resistance at 1.6620 â€“ 1.6660 area.