Having tried to rally at the end of last week the pair struggled to hold above 1.6750. The continued recent trading below the rising hints at a further move lower this week.
With price failing to hold above key resistance and remaining below the 20 day we expect the pair to move lower on technicals this week.
This weeks Rate decision could however put this view in jeopardy, particularly if we get any further hints of any early than expected rate rise on the Pound. Therefore we would be somewhat cautious in backing the move lower.