GBP/USD's Medium Term Bottom
Pair’s trading stays cautiously on the downside. The downtrend from 1.4376 has extended and is expected to align the fibonacci level of 1.2874. Following pivot points include: (S1) 1.2904; (P) 1.2960; (R1) 1.2999.
Over the minor resistance of 1.2998, trading will turn up in the neutral position. If GBP/USD recovers, upside would be bounded under 1.3212 resistance, causing a drop restoration.
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 1.2874 will indicate a long term downtrend restoration through the minimum of 1.1946. Breach of 1.3362 resistance should argue medium term bottoming. Even if GBP/USD recoils, the forecast would stay bearish.