After all said and done the rate ends off the lows with a strong buying wick Friday, today’s open shows net bid follow-through. Look for more upside this week. Possibly shorts covering ahead of the news due Tuesday.

Rate bouncing off two-year lows and is an excellent buy in my view. Rate has likely flushed out every long now and shorts will likely take gains soon leaving the rate vulnerable to a sharp rally.

Possible buying from semi-official names so watch the news. Offers above the market mixed with stops from late shorts so be ready for whipsaw the next few days. Traders expect GBP to track EURO through this week. Continue to expect a lot of cross-trading. Get ready for the rally.

GBP/USD Daily

Resistance 3:  1.8780
Resistance 2:  1.8750/60
Resistance 1:  1.8720/30
Latest New York: 1.8671
Support 1:  1.8620/30
Support 2:  1.8600
Support 3:  1.8580

Data due Tuesday: All times EASTERN (-5 GMT)

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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