GBPUSD drops sharply from 1.6662, suggesting that a cycle top is being formed on daily chart. Key support is now located at 1.5777, a break below this level will confirm the cycle top and signal deeper decline to 1.5500 zone. Key resistance is now at 1.6662, only rise above this level will indicate that the uptrend from 1.3654 has resumed.
For long term analysis, GBPUSD is in consolidation of the long term downtrend from 2.1161 (2007 high). Rebound to 1.6500-1.7000 area to reach the next cycle top on weekly chart is expected.
