Daily Pivots: (S1) 1.3066; (P) 1.3158; (R1) 1.3208; More….
Intraday bias in GBP/USD remains on the downside Current decline from 1.3651 would be targeting 1.2773 key support next. We’ll start to look for bottoming around there. On the upside, above 1.3221 minor resistance will turn intraday bias neutral first. Another decline is mildly in favor after the consolidation completes.
In the bigger picture, current development argues that the long term trend in GBP/USD has reversed. That is, a key bottom was formed back in 1.1946 on bullish convergence condition in monthly MACD. Current rise from 1.1946 will target 38.2% retracement of 2.1161 (2007 high) to 1.1946 (2016 low) at 1.5466 next. In any case, medium term outlook will now stay bullish as long as 1.2773 support holds.
