GBP/USD: Declining Sharply
GBP/USD declined sharply yesterday. The support at 1.5009 is challenged. A key support lies at 1.4832. The short-term technical configuration remains negative as long as prices remain below the resistance at 1.5130 (03/07/2013 low). Another resistance can be found at 1.5305 (03/07/2013 high).
In the longer-term, the break of the horizontal range defined by the strong support at 1.5235 (13/01/2012 low) and the strong resistance at 1.6302 (30/04/2012 high) calls for a further medium-term decline. The decline from the top at 1.5752 is viewed as a new phase of weakness. However, monitor the supports at 1.5009 and 1.4832 given the increasing short-term oversold conditions.