Daily Pivots: (S1) 1.1950; (P) 1.2112; (R1) 1.2221; More…
Interested bias in GBP/USD remains on the downside at this point. Current fall from 1.3514 should target a test on 1.1958 low. Firm break there will confirm larger down trend resumption. On the upside, above 1.2273 minor resistance will turn intraday bias neutral and bring consolidations first. But recovery should be limited well below 1.2725 support turned resistance to bring another fall.
In the bigger picture, current development suggests that price actions from 1.1946 (2016 low) are merely a consolidation pattern, with the third leg completed at 1.3514. Rejection by 55 month EMA also solidify long term bearishness. Focus is back on 1.1946 low. Decisive break there will resume larger down trend from 2.1161 (2007 high). This will remain the favored case as long as 1.3514 resistance holds.
