Daily Pivots: (S1) 1.2274; (P) 1.2372; (R1) 1.2538; More….
GBP/USD surges to as high as 1.2684 and strong break of 1.2582 resistance confirms resumption of rebound from 1.1958 low. Intraday bias stays on the upside for 100% projection of 1.1958 to 1.2582 from 1.2195 at 1.2819. Break will target 161.8% projection at 1.3205. On the downside, below 1.2469 minor will turn intraday bias neutral first.
In the bigger picture, we’d remain cautious on medium term bottoming around 1.1946 (2016 low). Sustained trading above 55 week EMA (now at 1.2727) will extend the consolidation pattern from 1.1946 with another rise to 1.4376 resistance. Nevertheless, decisive break of 1.1946 will resume down trend from 2.1161 (2007 high) to 61.8% projection of 1.7190 to 1.1946 from 1.4376 at 1.1135.
