Daily Pivots: (S1) 1.3589; (P) 1.3631; (R1) 1.3657; More…
GBP/USD’s from 1.3833 is still in progress and intraday bias stays on the downside for retesting 1.3410. Break there will resume larger decline from 1.4280. On the upside, though, break of 1.3708 minor resistance will turn bias back to the upside for 1.3833 resistance again.
In the bigger picture, the structure of the fall from 1.4248 suggests that it’s a correction to the up trend from 1.1409 (2020 low) only. While deeper fall cannot be ruled out yet, downside should be contained by 38.2% retracement of 1.1409 to 1.4248 at 1.3164, at least on first attempt, to bring rebound. On the upside, firm break of 1.4376 key resistance (2018 high) will add to the case of long term bullish reversal. However, sustained trading below 1.3164 will revive some medium term bearishness and target 61.8% retracement at 1.2493.
