Forex: GBP/USD: Consolidation below 1.6600 this week, says Mizuho
FXstreet.com (Barcelona) - The Pound has dropped from 1.6620 high om Jun to 1.6305 low on Monday, although the Pound has bounced and trades right above 1.6400 at the moment of writing.
According to Nicole Elliott, senior technical analyst at Mizuho Corporate bank, the Euro will consolidate below 1.6600 this week: "Some will probably be pointing to a potential ‘double top’ against this month’s high at 1.6664, probably the very same people who have missed the pound’s move this year. We shall allow for more consolidation under 1.6600 this week, but expect a new interim base to form around the 1.6000 area."
Resistance levels, according to Elliott, lie at 1.6444 and above here, 1.6475 and 1.6600. On the downside, support levels lie at 1.6300, and below there, 1.6200 and 1.6120.
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