The Pound was pressured lower against the US Dollar early on Monday. This decline was limited, as the strong support of the monthly and weekly S1s at 1.2930 stopped any attempts to push the rate significantly lower. The pair subsequently remained trading in a narrow range above this cluster and remained there on Tuesday morning, as well.
Technical indicators flash bearish signals, suggesting that this fall should continue today. However, it is rather unlikely that significant bearish pressure is put on the pair, especially if no important data releases are scheduled for today. In addition, the 61.80% Fibonacci retracement and a senior channel line are located nearby to support the Sterling.
If the 55-hour SMA is breached, the next target is the weekly PP and the 100-hour SMA.
