GBP/USD Daily Outlook

Daily Pivots: (S1) 1.2573; (P) 1.2626; (R1) 1.2710; More

The breach of 1.2673 suggests that GBP/USD’s rebound from 1.1986 is resuming. Intraday bias is back on the upside for 1.2774 resistance. Still, such rise is seen as the third leg of the consolidation pattern from 1.1946. Hence, we’d expect strong resistance from 1.2774 to limit upside and bring down trend resumption eventually. On the downside, firm break of 1.2411 minor support will argue that it’s completed and turn bias to the downside for 1.1946 low.

In the bigger picture, fall from 1.7190 is seen as part of the down trend from 2.1161. There is no sign of medium term bottoming yet. Sustained trading below 61.8% projection of 2.1161 to 1.3503 from 1.7190 at 1.2457 will target 100% projection at 0.9532. Overall, break of 1.3444 resistance is needed to confirm medium term bottoming. Otherwise, outlook will remain bearish.

GBP/USD 4 Hours Chart

GBP/USD Daily Chart

Subscribe to our daily and mid-day newsletter to get this report delivered to your mail box

Featured Analysis

Learn Forex Trading