Downtrend Resumption In GBP/USD
Trading is on the downside, as decline extended to minimum 1.2506 and break of support 1.2661 confirmed resumption of downtrend from 1.4376. Pivot points are at: (S1) 1.2458; (P) 1.2609; (R1) 1.2710.
Further fall to 61.8% projection of 1.4376 to 1.2661 from 1.3174 at 1.2114 is possible. Trading above minor resistance 1.2651 will become neutral for consolidation.
A medium term bounce from 1.1946 should have completed at 1.4376 already, after rejection from 55 month EMA. The fall from 1.4376 argues that it’s resuming long term downtrend from 2.1161. This will be the preferred case while structural resistance 1.3174 keeps.