Rate two-way again overnight, opens New York better but reverses into new lows late after Geithner remarks. Technical trade the rule to start the week with cross-spreaders holding GBP firm.

Rate needs to hold above 1.4700 area to keep bulls happy. Statement suggests that the BOE is not happy with a lower GBP. Traders note stops and active buying above the 1.4480 area and the rate rallies to highs above 1.4930 area. Tech resistance now at 1.5000 area likely to cap near term but stops are building above and the 1.5000 handle is a big psychological number.

23 year lows are very likely to hold on any break. Two-way action continues suggesting that shorts are aggressively adding and longs are trying to find a bottom. Rate trading on technical's now. Spillover from EURO likely but modest.

GBP/USD Daily
Resistance 3: 1.5000/10
Resistance 2: 1.4980
Resistance 1: 1.4920/30
Latest New York: 1.4484
Support 1: 1.4320
Support 2: 1.4250/60
Support 3: 1.4200

Data due Wednesday: All times EASTERN (-5 GMT)
4:30am GBP Claimant Count Change
4:30am GBP Average Earnings Index 3m/y
4:30am GBP Unemployment Rate
5:30am GBP BOE Gov King Speaks
5:30am GBP BOE Inflation Report

Forex Analysis by Jason Alan Jankovsky at ForexPros.com. For more details about Forex Trading and Tips for decent earnings through Forex Trading, Please check http://www.forexpros.com