Daily Pivots: (S1) 1.3664; (P) 1.3697; (R1) 1.3735; More…
GBP/USD’s break of 1.3570 support indicates resumption of fall from 1.4248. Intraday bias is back on the downside for 1.3482 resistance turned support next. Sustained break there will target 1.3163 fibonacci level. On the upside, though, above 1.3608 support turned resistance will turn intraday bias neutral first. But risk will stay on the downside as long as 1.3748 resistance holds.
In the bigger picture, fall from 1.4248 is at least a correction to the up trend from 1.1409 (2020 low). Such correction could extend to 38.2% retracement of 1.1409 to 1.4248 at 1.3164 before completion. However, considering the rejection by 1.4376 key resistance (2018 high), sustained trading below 1.3164 will argue that it’s indeed a bearish trend reversal and would target 61.8% retracement at 1.2493. Nevertheless, break of 1.3912 resistance will revive medium term bullishness and target 1.4248/4376 resistance zone again.
