GBP/USD Mid-Day Outlook

Daily Pivots: (S1) 1.3629; (P) 1.3676; (R1) 1.3761; More….

Intraday bias in GBP/USD stays neutral first and some consolidations could be seen. But still, further decline is in favor as long as 1.3908 resistance holds. On the downside, break of 1.3570 will resume the fall from 1.4248 to 1.3482 resistance turned support first. Decisive break there will indicate that it’s already correcting whole up trend from 1.1409. Next target will then be 38.2% retracement of 1.1409 to 1.4248 at 1.3164. However, sustained break of 1.3908 will bring stronger rise back to retest 1.4248 high.

In the bigger picture, as long as 1.3482 resistance turned support holds, up trend from 1.1409 should still continue. Decisive break of 1.4376 resistance will carry larger bullish implications. However, firm break of 1.3482 support will argue that the rise from 1.1409 has completed. GBP/USD would then be seen in another leg of long term range pattern between 1.1409 and 1.4376. Deeper fall could then be seen to 61.8% retracement of 1.1409 to 1.4248 at 1.2493, and even below.

July 23, 2021 at 01:35AM
ActionForex.com
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