• GBP/USD declined sharply on Thursday as Sterling was weighted down after the head of the Bank of England said more stimulus would be needed in Britain over the summer after last week's shock vote to leave the European Union.
   
• The pair made a modest gain in early European session hitting as high as 1.3498 but was unable to move further on broader weakness and declined sharply to hit low around 1.3201 in the US session.
   
• Currently, the pair is trading around 1.3241 levels, it is set to decline further towards 1.3150 and later 1.3100 in the short term.
   
• To the upside, strong resistance can be seen at 1.3293, a break above this level would expose the cable to next resistance level at 1.3360 levels.
   
• To the downside, strong support can be seen at 1.3142, a break below at this level will open the door towards next level at 1.3100.
  
  Resistance Levels
  
  R1:  1.3247 (50% Retracement level)
  
  R2: 1.3293 (61.8% Retracement level)
  
  R3: 1.3360 (June 26th high)
  
  Support Levels
  
  S1: 1.3201 (38.2 % Retracement level)                   
  
  S2: 1.3142 (23.6 % Retracement level)
  
  S3: 1.3100 (Psychological levels)