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Pound Confirmed Bearish Trend,1.6465 Will be next Key Support

GBPUSD : Daily Chart

All Data in Red today pushed the pound down breaking below the 200 day SMA and the key support at 1.6655. Breaking below these key support have confirmed the bearish movement on the pair. The next nearest support the pair may find is at 1.6551. If taking fundamentals into consideration the pair might rise again as the BOE Governor Carney stated that the central bank would not be looking at the wage growth for increasing interest rates. The slowdown in Inflation dampened the expectations among investors that BOE will increase interest rate soon. On the other hand, market is waiting for the US Housing data and Inflation data. If the data beats economist’s expectations, we might see the pair extending losses.

GBPUSD : Daily Chart

Now let’s have some technical look on the chart. If we insert Fibonacci Retrenchment levels on the chart, we can see that the pair is trading below the 61.8 fib level and has also confirmed the bearish movement for a while breaking below the 200 day SMA. So it might decline up to 1.6465. Accordingly the pair seems bearish.