Our bias on GBP remains higher as we look for it to return to the 1.5924 level, its Feb 08'2012 high and the 1.5990 level. This if it materializes will trigger its medium term uptrend towards the 1.6074 level, its Nov'2011 high with a breach of here turning focus to its Oct 31'2011 high at 1.6161. Its daily RSI is bearish and pointing higher supporting this view. On the downside, the risk to this analysis will be a convincing break and close below the 1.5601 level. This zone may hold on retests. However, if violated, further lower prices will shape up towards the 1.5497 level, its Jan 10'2012 high. On the whole, the pair continues to hold on to its broader medium term uptrend.

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