Just Shy Of $1.3900

GBP/USD has failed to breach Monday's high overnight and sits a handful of pips firmer on the day, last dealing at ~$1.3890.

• There has been little in the way of fresh input from local press reports overnight, with questions surrounding the impact of the COVID "freedom day" outline on public health still dominating matters.
• Looking ahead to Tuesday, most of the local focus will fall on the release of the BoE's FSR and subsequent press conference from BoE Governor Bailey, although this unlikely to have a huge impact on GBP.
• Our technical analyst notes that the rate is holding onto recent gains, although he believes that the outlook remains bearish. Bears ultimately eye a test of the April 16 low ($1.3717). Below there sits key short-term support and bear trigger in the form of the April 12 low ($1.3669). Firm resistance is seen at the June 23 high ($1.4001), a break there would alter the broader bearish picture.