Daily Pivots: (S1) 1.2699; (P) 1.2756; (R1) 1.2805; More….
Intraday bias in GBP/USD is turned neutral with the current retreat. On the upside, firm break of 61.8% projection of 1.1409 to 1.2647 from 1.2065 at 1.2830 will extend the rise from 1.1409 to 100% projection at 1.3303. On the downside, considering mild bearish divergence condition in 4 hour MACD, break of 1.2618 minor support will indicate short term topping. Intraday bias will be turned back to the downside for 55 day EMA (now at 1.2458).
In the bigger picture, while the rebound from 1.1409 is strong, there is not enough evidence trend reversal yet. Down trend from 2.1161 (2007 high) should still resume sooner or later. However, decisive break of 1.3514 should at least confirm medium term bottoming and turn outlook bullish for 1.4376 resistance first.
