Forex: GBP/USD stable around 1.51 despite the turmoil

FXstreet.com (Barcelona) - GBP/USD has been quite stable during the Asia-Pacific session given the turmoil going on with Cyprus bailout that has sent Euro to fresh 3-month lows. Cable is last at 1.5094, barely 20 pips below previous weekly close Friday, helped on EUR/GBP cross selling. The London session ahead will offer a blank agenda in terms of Pound related risk events, with key UK CPI at sight for tomorrow.

According to Valeria Bednarik, Chief Analyst at Fxstreet.com: “The hourly chart shows price struggling around a flat 20 SMA while indicators bounce higher from their midlines, giving a slightly bullish tone to the pair,” the analyst notes, adding: “If panic takes over the market however, dollar demand will likely weight on the pair and send it lower: the 1.5050 is then the point to watch as once below, the slide will likely continue towards 1.4980 price zone,” she concludes.

Valeria sees support levels at: 1.5090, 1.5050 and 1.4980, while resistance levels at: 1.5175, 1.5220 and 1.5260.