GBP/USD back below 1.3550 as traders anticipate a fouled BoE rate call

• Sterling struggles to maintain bullish momentum, Asia's pickup ends as quickly as it began.
• No events scheduled for the GBP today leaves the pair at the whim of excessively bearish market sentiment.

The GBP/USD is trading around the 1.3550 marker heading into Monday's European session.

GBP/USD looking to stage a correction from 1.35 as the BoE's interest rate call looms

The pair is catching some support from the 200-day SMA, but buyers are hard to find and the Sterling is heading into a new week looking up from the bottom of the cliff that it fell off of in April. The pair has shifted lower over 6% since April's high of 1.4376. The Sterling began to wash against the US Dollar as spiking US Treasury yields forced the Dollar higher against the broad FX market, and the GBP has been blasted by traders as waning economic confidence on the back of lagging macro figures for the UK's economy, which has forced the Bank of England (BoE) to walk back its recent hawkishness, and markets have pummeled the Sterling as markets bin their expectations of a rate hike from the BoE at their upcoming rate call on Thursday.

Little else of importance sits on the GBP's economic calendar for the week, and traders will be focusing on the BoE's Super Thursday events.

GBP/USD analysis: all eyes on BOE

GBP/USD Levels to watch

As FXStreet's Chief Analyst Valeria Bednarik noted about the GBP's technical positioning heading into the new week: "the pair fell for a ninth consecutive day last Friday, lifting odds for an upward corrective movement ahead, although it could be reduced to some consolidation around current levels if demand for the greenback persists. In the daily chart, technical indicators have decelerated but remain in extreme oversold levels, while the pair settled far below its moving averages, with the 20 DMA heading south almost vertically, but over 400 pips above the current level. Shorter term, and according to the 4 hours chart, the pair is still developing below a bearish 20 SMA, while technical indicators lack clear directional strength inside negative territory, indicating that the bulls are still sidelined."

Support levels:  1.3510 1.3485 1.3450

Resistance levels: 1.3610 1.3645 1.3690