GBPUSD: We continue to hold our downside view on GBP. While it holds below the 1.5774/78 levels, the broader risk is for an eventual return to the 1.5457 level. A breach will set the stage for a move lower towards the 1.5391 level. A clearance of here will turn focus to its Jun 2012 low at the 1.5266 level. Further down, support lies at its July 18’2010 low at 1.5122. Conversely, the pair will have to break and hold above the 1.5774/78 levels to end its bear threats and trigger price extension. In such a case, the 1.5857 level will come in as the next upside target where a violation will expose the 1.6000 level. On the whole, GBP remains vulnerable.