Daily Pivots: (S1) 1.2170; (P) 1.2226; (R1) 1.2274; More…
GBP/USD’s rally from 1.1801 resumed after brief retreat and intraday bias is back on the upside. Further rally should be seen to 1.2445/6 resistance zone. Decisive break there will resume larger rise from 1.0351, and target 1.2759 fibonacci level. However, break of 1.2177 minor support will now argue that corrective pattern from 1.2445 is extending with another falling leg, and turn bias to the downside.
In the bigger picture, price action from 1.2445 are seen as a corrective pattern to rise from 1.0351 medium term bottom (2022 low). Resumption is expected as a later stage and firm break of 1.2446 will target 61.8% retracement of 1.4248 (2021 high) to 1.0351 at 1.2759. This will remain the favored case as long as 38.2% retracement of 1.0351 to 1.2445 at 1.1645 holds.
