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Forex: GBP/USD limited below 1.6070 before the European opening.

The British Pound is trading near weekly lows against the Greenback ahead of tomorrow's BoE monetary policy decision. GBP/USD has spent most of the Asian session in a tight range between 1.6045 and 1.6070 after the cross bottomed out at 1.6026 on Tuesday. 
Currently, GBP/USD is trading at 1.6065, just where it started Wednesday, capped below the 1.6070 area that represents the 23.6% retracement of the 1.5405/1.6276 rally. 
From a technical perspective, Franco Shao, analyst at ForexCycle.com, said, "GBPUSD remains in uptrend from 1.5344 (Dec 28, 2010 low). As long as the trend line support holds, the fall from 1.6277 is treated as consolidation of uptrend, and one more rise to re-test 1.6298 (Nov 4, 2010 high) is still possible after consolidation". 
"On the downside, a clear break below the trend line support will indicate that the rise from 1.5344 had completed at 1.6277 already, then the following downward move could bring price back to 1.5600 area", added Shao.