Daily Pivots: (S1) 1.3352; (P) 1.3442; (R1) 1.3490; More…
GBP/USD’s steep decline today suggests that rebound from 1.3158 has already completed at 1.3657. Intraday bias is back on the downside for retesting 1.3158. Decisive break there will target 100% projection of 1.3867 to 1.3158 from 1.3657 at 1.2948. For now, risk will stay on the downside as long as 1.3453 support turned resistance holds, in case of recovery.
In the bigger picture, current development suggests that price actions from 1.3867 are merely a corrective pattern within the broader up trend from 1.0351 (2022 low). With 1.3008 support intact, medium term bullishness is maintained and break of 1.3867 is in favor for a later stage, towards 1.4248 key resistance (2021 high). However, firm break of 1.3008 will at least bring deeper fall to 38.2% retracement of 1.0351 to 1.3867 at 1.2524, with increased risk of bearish reversal.
