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GBP/USD still deciding where to go next

U.S. dollar started the week on the back foot. GBP/USD closed last week right on the 200 DMA but moved north of it in early hours today. 1.36 - 1.3630 is the area where it gets interesting though. A move above that should see at least some short-covering. On the flipside, a sustained move below the mentioned average and then 1.35 will be needed for the bears to maintain control.
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Cable supported ahead of the BOE

Big day for the pound today as the BOE conclude its first meeting post Brexit. Many expect them to cut the official cash rate by 0.25% and perhaps add some QE. That would likely resume the downtrend in the pair.
A surprise decision to stand pat would most probably be accompanied by a strong hint on action in August. The pair would rally on further short covering but the upside would be limited.
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