Daily Pivots: (S1) 1.3416; (P) 1.3440; (R1) 1.3465; More…
GBP/USD is still holding on to 1.3401 support and intraday bias remains neutral. Further rise is mildly in favor. On the upside, break of 1.3567 will resume the rise from 1.3008 to retest 1.3787 high. However, firm break of 1.3401 will confirm short term topping, and bring deeper fall back to 55 D EMA (now at 1.3367). Sustained break of 55 D EMA will argue that corrective pattern from 1.3787 is already extending with another falling leg, and target 1.3008.
In the bigger picture, current development suggests that fall from 1.3787 is merely a corrective move, and larger rise from 1.0351 (2022 low) is still in progress. Firm break of 1.3787 will target 1.4248 (2021 high) key structural resistance. This will remain the favored case as long as target 38.2% retracement of 1.0351 to 1.3787 at 1.2474 holds, in case of another fall.
. Sustained break of 55 D EMA will argue that corrective pattern from 1.3787 is already extending with another falling leg, and target 1.3008.){kind=link}