GBP/USD back below 1.6100 - FXStreet

FXStreet (Łódź) - FXStreet Chief Analyst Valeria Bednarik comment's on the GBP/USD price action today, stressing that the Spanish referendum speculation, pointing towards a "yes" vote, will continue weighing on the pound.

Key quotes

"GBP/USD is back below 1.6100 with no data scheduled for today and still weight by speculation Scottish referendum possibility of a wining 'Yes'."

"The technical picture shows sellers surged at 1.6150 with the pair trading back below 1.6100; 20 SMA has extended its decline and now hovers a few pips above mentioned level, reinforcing its strength, while indicators remain in negative territory."

"RSI turned back below 30 after a limited upward correction, while momentum turned back south after approaching its midline."

"Yesterday’s low at 1.6059 stands as immediate support and a break below it should lead to a quick extension down to 1.6020 price zone, while a breach below 1.60 critical figure may see the pair extending down to 1.5950/60 area in the short term."

"The main support however stands well below, at 1.5853, November 2013 monthly low."