FXstreet.com (Barcelona) - The Pound is under pressure again in the European session after the slight recovery in the Asian session. The Cable has fallen around 125 pips from the 1.4245, at the beginning of the session, to the 1.4118. Currently, the pair is trading around the 1.4125/45 band.
In the 4hours chart, the 1.4135 looks like a very important support, the GBP/USD is pointing towards it, if the downside movement is confirmed, the pair will break the 1.4135 and it will go down to the 1.4090 and the 1.4020
According to Valeria Bednarik, FXstreet.com collaborator, The EU leaders decision to not to approve a bailout for the eastern European banks has sent the Dollar higher in early Europe: The decision by European Union leaders over the weekend not to coordinate a bailout for central and eastern European economies has boosted risk aversion,sending dollar higher in early Europe. GBP is also suffering downside pressure, and remains fighting the 1.4200 zone. The pair has already tested the 1.4255, first support for today, followed by the tough congestion zone the pair has between 1.4120/35.