• GBP/USD gained some ground on dollar initially in the early European session after UK CPI data printed positive reading better than forecasted figures at 0.2%. However, after finding resistance at 1.4340 the pair has slipped sharply to trade around 1.4208 levels. 
  
  
• The ongoing weakness is set to continue for this pair as the resistance level at 1.4340 is likely to act as strong barrier to the bulls and bring a further decline towards lower levels in the short term, therefore it's good to sell this pair on rallies.
  
  
• To the upside, the strong resistance can be seen at 1.4340, a break above this level would expose the cable to next resistance level at 1.4418.
  
  
• To the downside immediate support can be seen at 1.4208, a break below at this level will open the door towards next level at 1.4146.
  
  Recommendation: Go short around 1.4250, targets 1.4180, 1.4100, SL 1.4340
  
  Resistance Levels
  
  R1:  1.4278 (50% Retracement level)
  
  R2: 1.4340 (61.8% Retracement level)
  
  R3: 1.4418 (Jan 15th high)
  
  Support Levels
  
  S1: 1.4208(38.2% Retracement level)
  
  S2: 1.4146 (23.6% Retracement level)
  
  S3: 1.4100 (Psychological levels)