Daily Pivots: (S1) 1.3934; (P) 1.3980; (R1) 1.4046; More…..
GBP/USD’s rally continues today and reaches 1.4024 so far. Intraday bias remains on the upside and current rise should target medium term channel resistance at 1.4139. Break will indicate acceleration to 100% projection of 1.2108 to 1.3651 from 1.3038 at 1.4581 next. On the downside,below 1.3915 minor support will turn intraday bias neutral first. But pullback should be contained above 1.3612 resistance turned support to bring another rise.
In the bigger picture, sustained break of 1.3835 key resistance level indicates that rebound from 1.1946 is at least correcting the long term down from from 2007 high at 2.1161. In that case, further rise should be seen back to 38.2% retracement of 2.1161 (2007 high) to 1.1946 (2016 low) at 1.5466. Medium term outlook will now stay bullish as long as 1.3038 support holds.