Daily Pivots: (S1) 1.3224; (P) 1.3315; (R1) 1.3485; More…
GBP/USD surges to as high as 1.3528 today. The strong break of 1.3444 key resistance carries larger bullish implication. Intraday bias remains on the upside and current rally should target 1.3835 support turned resistance next. On the downside, below 1.3406 minor support will turn intraday bias neutral and bring consolidations, before staging another rally.
In the bigger picture, the strong break of 1.3444 key resistance now argues that the long term trend in GBP/USD has reversed. That is a key bottom was formed back in 1.1946 on bullish convergence condition in monthly MACD. Current rise from 1.1946 will target 38.2% retracement of 2.1161 to 1.1946 at 1.5466 next. In any case, medium term outlook will now stay bullish as long as 1.2773 support holds.
