GBPUSD: Vulnerable But Maintains Its Recovery Tone From The 1.5779 Level.

GBPUSD: The pair may be hesitating following its failure at the 1.6614 level but retains its recovery tone set from the 1.5779 level. A clearance of the 1.6614 level will create scope for additional strength towards the 1.6743 level, its 2011 high and then the 1.6900 level, its psycho level. On the downside, the risk to our analysis will be a return below the 1.6472 level but the bigger risk will be a break and hold below the 1.6110 level, its Aug 11’2011 low. This will create scope for more weakness towards the 1.6006 level. Further downside, the big support stands at the 1.5778 level, its July’2011 low.