GBP/USD fell during the session on Friday after an initial bounce to form a shooting star. The pair looks weak, and rightfully so as the Bank of England continues to hint of further quantitative easing to come. The meeting this coming week should give traders new direction in the value of the Pound, and it also looks like they are already deciding it as rallies continue to be sold off. The breaking of the Thursday and Friday lows would signal more selling to come, and send us down to the 1.55 level rather quickly in our opinion. The pair cannot be bought at this point as the fundamentals and technicals are both pointing to a lower exchange rate in the cable.
Written by FX Empire