Daily Pivots: (S1) 1.2138; (P) 1.2195; (R1) 1.2309; More….
GBP/USD’s break of 1.2309 resistance should confirm short term bottoming at 1.1958, on bullish convergence condition in 4 hour MACD. Also, as it was supported by 1.1946 low, 1.1958 might be a major bottoming. Intraday bias is now back on the upside for 38.2% retracement of 1.3381 to 1.1958 at 1.2502 first. Break will target 61.8% retracement at 1.2837. On the downside, break of 1.2162 minor support will turn bias back to the downside for 1.1958 support instead.
In the bigger picture, down trend from 1.4376 (2018 high) is extending towards 1.1946 low. We’d be cautious on bottoming there. But decisive break will resume down trend from 2.1161 (2007 high) to 61.8% projection of 1.7190 to 1.1946 from 1.4376 at 1.1135. In any case, medium term outlook will stay bearish as long as 1.3381 resistance holds, in case of strong rebound.
