GBP/USD falls to a low of 1.2962, lowest since 20 December

GBP/USD H1 04-02

The pound is continuing to stay pressured after its fall from grace yesterday, with cable now sneaking below the 1.3000 handle after having hit a session high of 1.3024 in the two hours before this.

The support region around 1.2955-70 is a key area that buyers have leaned on to start the year and from a technical perspective, offers a good reason for the pound to stay afloat.

However, as the market starts to hone in on Brexit once again, the risks for the pound may soon turn asymmetric in spite of more positive recent economic developments.

That is something that buyers will have to consider as we continue to see price take out one support level after another on the way down since yesterday.

Upon a break below the 14 January low of 1.2955, further support is only seen at 1.2920 next with the 23 December low of 1.2905 a key level to watch out for as well.

Update: Scratch that, make it a fresh three-week low as price now slips to 1.2956 - the lowest since 14 January. The low on that day @ 1.2955 is a key level to watch now.