GBP/USD Daily Outlook

Daily Pivots: (S1) 1.9487; (P) 1.9553; (R1) 1.9606; More

Cable edges lower to 1.9495 earlier today but lacks follow through momentum so far. At this point, intraday bias is mildly on the downside as long as 1.9623 minor resistance holds and further fall is in favor to retest 1.9337 low. On the upside, above 1.9623 will turn intraday outlook neutral first. But another decline is still in favor as long as upside is limited below 1.9772 resistance.

In the bigger picture, down trend from 2.1161 have made a low at 1.9337. While the rebound from 1.9337 might have completed at 2.0391 already, choppy price actions from there is still arguing that consolidation from 1.9337 is not finished yet. Firm break of 1.9337 low is needed to confirm whole down trend from 2.1161 has resumed. Otherwise, consolidation might continue to extend further. Above 1.9908 will flip bias back to the upside for t 61.8% retracement of 2.1161 to 1.9337 at 2.0464.

Also, note that, prior break of medium term rising channel at least indicate that rise from 1.8090 has already completed at 2.1161, so is the medium term up trend from 1.7047 probably. Hence, sustained break of 2.1161 is needed to confirm the whole up trend has resumed. Otherwise, another fall is still expected towards 61.8% retracement of 1.7047 to 2.1161 at 1.8619 after finishing the current consolidation from 1.9337.

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