Bearish Divergence in GBP/USD
Pair’s price behavior from 1.1946 is viewed as a corrective pattern. According to bearish divergence in 4 hour MACD, resilient resistance from 61.8% projection of 1.2108 to 1.3047 from 1.2588 at 1.3168 might bound the upside. Following pivot points include: (S1) 1.3023; (P) 1.3091; (R1) 1.3131.
Breach of 1.2932 support will point out trend reversal and move trading to the downside towards the key support of 1.2588. Decisive breach of 1.3168 will cause another surge to 1.3444. Then, the correction will end.
Price moves from a medium term minimum of 1.1946 are considered as a corrective pattern. The retreat from 1.3047 has ended. The corrective pattern from 1.1946 keeps extending towards further maximum above 1.3047. Prognosis stays bearish while 1.3444 resistance is present. Bigger downtrend from 1.7190 should prolong after conclusion of the correction. Breach of 1.2588 will suggest extension of this downtrend.