GBP/USD's Corrective Recoil

Technical Reports

The pair fell but remained over the minor support of 1.2844. Trading is still neutral. Following pivot points include: (S1) 1.2924; (P) 1.2976; (R1) 1.3009.

Recoil from 1.2661 will extend as long as the whole minor support of 1.2844 holds. Firm resistance from 1.3316 fibonacci level should bound upside. Breach of 1.2844 support will indicate ending of recoil and align repeat test on 1.2661 minimum.

The intact medium term recoil from 1.1946 should have ended at 1.4376 after being rejected by 55 month EMA. Considering impulse of the drop from 1.4376, long term downtrend is progressing. Strong breach of 1.3316 should cause firmer recoil for 61.8% retracement at 1.3721. Repeat test of 1.1946 minimum might become the next target.