Daily Pivots: (S1) 1.2734; (P) 1.2762; (R1) 1.2795; More…
A temporary low is in place at 1.2722 with 4 hour MACD crossed above signal line. Intraday bias in GBP/USD is turned neutral for consolidations. But upside should be limited below 1.2956 support turned resistance to bring fall resumption. On the downside, below 1.2722 will extend recent decline to 161.8% projection of 1.3362 to 1.2956 from 1.3212 at 1.2555 next.
In the bigger picture, whole medium term rebound from 1.1946 (2016 low) should have completed at 1.4376 already, after rejection from 55 month EMA (now at 1.4141). Current downside acceleration argues that it’s possibly resuming long term down trend. In any case, outlook will stay bearish as long as 1.3212 resistance holds. Retest of 1.1946 should be seen next.
