GBP/USD: Consolidation Is In Progress

Technical Reports

Trading is neutral for consolidation above temporary low 1.2777. Still, further fall is expected and break of 1.2661 will renew larger downtrend from 1.4376 to 61.8% projection of 1.4376 to 1.2661 from 1.3297 at 1.2237. Pivot points are at: (S1) 1.2773; (P) 1.2813; (R1) 1.2834.

Overcoming of minor resistance 1.2919 will point out a short term bottoming. Break of 1.2777 will point out resumption of the fall from 1.3297 to low 1.2661.

A medium term bounce from 1.1946 should have completed at 1.4376 already, after rejection from 55 month EMA. Overcoming of 1.3316 would bring stronger rebound to 61.8% retracement at 1.3721. Downtrend resumption is forecast. This will be the preferred case while 38.2% retracement of 1.4376 to 1.2661 at 1.3316 keeps.