GBP/USD Mid-Day Outlook

Daily Pivots: (S1) 1.2960; (P) 1.3020; (R1) 1.3060; More….

GBP/USD’s decline re-accelerates to as low as 1.2905 so far. Intraday bias remains on the downside at this point. Sustained break of 38.2% retracement of 1.1958 to 1.3514 at 1.2920 will pave the way to 61.8% retracement at 1.2552. On the upside, break of 1.3079 minor resistance will turn bias back to the upside for retesting 1.3514 high.

In the bigger picture, rise from 1.1958 medium term bottom is on track to retest 1.4376 key resistance. Reactions from there would decide whether it’s in consolidation from 1.1946 (2016 low). Or, firm break of 1.4376 will indicate long term bullish reversal. In any case, for now, outlook will stay bullish as long as 1.2582 resistance turned support holds.