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FXstreet.com (Barcelona) - The Pound reached fresh 14-month high at 1.6400 last week, and retreated for three consecutive days afterwards, reaching 1.6000 area, where, according to Carol Harmer, technical analyst at Charmer Charts, the pair is expected to bounce up.

The pair has reached an excellent support area at 1.5995/1.5975 to bounce up today, says Harmer: "Cable has excellent support in the 1.5995/1.5975 area and given that we have experienced three days of downward moves and that the market is oversold short term we should see a bounce today to ease this oversold scenario."

On the upside, Harmer sees an important resistance area at 1.6150/1.6175: "1.6150/1.6175 offers a good resistance level for sellers to come back into the market. If we do see rallies to here we should also join the sellers in taking a short position looking for the market to head lower."

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