Rate forced lower to start the week after consolidating gains last week. Good bids reported but supply seen from semi-official names. Stops in range helps to pressure but support has failed at 1.5050 area. Traders note solid two-way action with stops cleared across several levels.

Sellers hold control above 1.5100 area so far but how the rate trades into US news today will tell more. OK to buy if flat on a dip. Profit-taking likely to result in a squeeze on the further strength. Technical trade overnight as traders decide near-term action with little to go on but the charts.

BOE rate cut next meeting increasingly likely but that is likely completely factored in at this point. Traders note liquidity is only moderate and still on the lower side. Aggressive traders can look to buy the next dip.

GBP/USD Daily
Resistance 3: 1.5680
Resistance 2: 1.5620
Resistance 1: 1.5550
Latest New York: 1.4976
Support 1: 1.4700/10
Support 2: 1.4650
Support 3: 1.4550

Data due Tuesday: All times EASTERN (-5 GMT)
4:30am GBP Construction PMI
7:01pm GBP Nationwide Consumer Confidence

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