FXstreet.com (Barcelona) - The Pound has weakened sharply against the Dollar during today's European session dropping from 1.4075 to a new intra-week low at 1.3845. At the moment the Pound has picked up slightly and rises beyond 1.3900.
GBP is oversold and some recovery for the Sterling seems likely, on the upside, next resistance levels come at previous previous week low at 1.3964, and then above 1.4020, to get back to previous session's range. Above 1.4070, the pound would be on the way to yesterday's high at 1.4140.
On the downside, below 1.3835/45 area, focus will turn towards and then 1.3800; below here, next support level comes at 1.3700.
According to the Swiss e Trade Strategy Team recovery will not reach previous levls: Cable is on the losing track in early European trading, with a downmove from 1.4050 to presently at 1.3890. We expect some upward correction for today, not exceeding 1.3960, and then renewed weakness will set in , bringing the pair to the 1.3820 level.