GBP: Technical indicators suggest additional near-term losses likely - BBH

Sterling likely put in a top of some import last week near $1.44 as it reversed lower and finished the week at $1.40, points out the research team at BBH. 

Key Quotes

“It broke below the trendline created drawn off the March 1, March 8 and April 19 lows.  Soft inflation and retail sales data, the defeat of the government's position (on the common market) by the House of Lords, and some cautious comments from BOE Governor Carney were the fundamental drivers.  A break now of the April low (~$1.3965), which is also the 61.8% retracement of the rally since March 1, could signal a move toward $1.37, which could be the neckline of a larger double top. The technical indicators suggest additional near-term losses are likely.”