GBP/USD’s Resistance Turned Support

Technical Reports

Pair’s consolidation from 1.4345 is in progress. Trading stays neutral. Further drop is expected and 1.3915 support should restrain downside of a pull back. In that case, rally will resume. Following pivot points include: (S1) 1.4188; (P) 1.4233; (R1) 1.4307.

Breach of 1.4345 will prolong the medium term uptrend for 100% projection of 1.2108 to 1.3651 from 1.3038 at 1.4581. Break of 1.3915 will indicate that larger retreat is going to align the resistance turned support of 1.3651.

Firm breach of 1.3835 key resistance will confirm that recoil from 1.1946 is a correction for the long term downtrend from the maximum of 2.1161. Another lift should align 38.2% retracement of 2.1161 to 1.1946 at 1.5466. If 1.3038 support is present and if GBP/USD backs down, medium term forecast remains bullish.