The British pound remains under downward pressure. Yesterday in the afternoon, markets movements were muted before FOMC statement, which was clearly dovish, incorporating the risk of disinflation. After this data the pound recovered positions managing to reach the 1.5230 level, but we believe the weekly support level of 1.51 will offer much support; it could find a rebound that would take it to the level of 1.5280. In the medium term is a weakness of the British currency, as the indicators show a deeper fall of the pound to the level of 1.50, and further down to 1.47, in the coming months. However, in view that there is no bearish confirmation for the pair yet; it is more likely to seek levels of purchased in the daily supports.
If you need personal consultation, Skype: gerardofx or contact me via e-mail: gerardo.porras@analytics.instaforex.com