Fibonacci Level In GBP/USD
The pair has strongly fallen to 1.3189 minimum, breaking the minor support of 1.3200. GBP/USD then shortly recommenced and trading turned up in neutral position. Following pivot points include: (S1) 1.3178; (P) 1.3271; (R1) 1.3350.
Breach of 1.3189 should argue that corrective surge from 1.3048 has finished at 1.3362. Trading should turn up on the downside to 1.3048. Breach will also extend deeper drop from 1.4376 to the fibonacci level of 1.2874. If further increase through 1.3362 occurs, firm resistance from 1.3471 would bound upside and complete the corrective recoil.
The intact medium term recoil from 1.1936 should have ended at 1.4376 after being rejected by 55 month EMA. Drop from 1.4376 should prolong for 61.8% retracement of 1.1936 to 1.4376 at 1.2874. Strong breach of 38.2% retracement of 1.4376 to 1.3048 at 1.3555 should confirm medium term bottom formation. Even if GBP/USD recoils, the forecast would stay bearish.