16:18, 18 February

Daily Analysis

On Tuesday last week we covered the GBPUSD which continued throughout the week to move strongly lower before rallying higher to finish the week. The last three weeks has seen the GBPUSD fall strongly away from the key resistance level at 1.32 and it seems to be eyeing off potential support at 1.27 again. The sterling enjoyed a very positive January as it has moved from below 1.27 up to a three-month high at the resistance level around 1.32, before the recent decline.

Starting in mid-December, the GBPUSD had slowly but steadily climbed higher from a two year low below 1.25 up to the current key level of 1.27 and beyond. The current key level remains 1.27 and you could expect the pound to receive some support from this level should it be called upon.