The pound sterling extended declines for the second consecutive session. The declines came as PM May prepared to leave 10 Downing opening the way for various contenders for the PM’s post. Some of the frontrunners are talking up the narrative of leaving the EU without a Brexit deal in hand.
Will GBPUSD Extend Further Declines?
The cable managed to briefly lift off above the resistance level of 1.2716 last Friday. But the sterling slipped back below this level. The GBPUSD moved back into its range of 1.2716 and 1.2606 by Tuesday’s close. This sideways range could be maintained in the short term, but there is scope for price to breakout. The breakout direction will likely determine the next leg in the trend.
