GBP/USD back under pressure

The ebb in selling after the Bank of England decision has ended and the pound is back under pressure.

The latest round of selling took out the important short-term support at 1.2540. If we close at these levels it would leave an outside bearish day on the chart and highlight the failure to break 1.27.

Cable has had a nice rebound but it will be tough to sustain anything but short covering until after the Article 50 announcement comes.