Daily Pivots: (S1) 1.3414; (P) 1.3556; (R1) 1.3641; More…
No change in GBP/USD’s outlook and intraday bias stays on the downside for retesting 1.3410 low first. Firm break there will resume larger fall from 1.4280 to 1.3164 medium term fibonacci level. On the upside, above 1.3604 minor resistance will mix up the near term outlook and turn intraday bias neutral first.
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.
