GBP/USD rebound to as high as 1.5599 last week but was limited below mentioned 38.2% retracement of 1.6300 to 1.5268 at 1.5662 and retreated sharply. Such rebound might have finished and deeper fall is in favor initially this week to retest 1.5268 first. Break will confirm resumption of whole decline from 1.6300. In such case, GBP/USD should drop through 1.5234 key support to 1.5 psychological level. Though, a break of 1.5599 will likely bring another rise towards 61.8% retracement at 1.5906 instead.

In the bigger picture, price actions from 1.3503 (2009 low) are treated as consolidations to long term down trend from 2.1161, no change in this view. Such consolidation could be in form of a triangle that's completed at 1.6300 but and current downward thus is favoring this view. Focus remains on 1.5234 support and decisive break there will suggest that down trend from 2.1161 is resuming for a new low below 1.3503.

In the longer term picture, the corrective nature of the multi-decade advance from 1.0463 (85 low) to 2.1161 as well as the impulsive nature of the fall from there suggests that GBP/USD is now in an early stage of a long term down trend. Another low below 1.3503 is anticipated after consolidation from there is confirmed to be completed.