The GBP/USD failed to break from its current range between 1.5300-1.5500 as the pair remains at a critical crossroad. Support at 1.53300-38.2% Fibo of 1.4277-1.6011 continues to hold firm leaving the door open for a resumption of the bullish trend that started in May. However, concerns over the impact of austerity measures on the U.K.’s recovery have been a weighing factor and a break below support would expose considerable downside risks. Therefore, I will look to take a short position below 1.5300 with 1.5000 as my target. However, a move above 1.5600 would change my bias. The pair continues to be driven by risk sentiment and building optimism, could lead to a continuation of the prior uptrend.
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