GBP/USD Daily Outlook
Daily Pivots: (S1) 1.6191; (P) 1.6286; (R1) 1.6346; More...
GBP/USD retreated sharply after hitting 1.6380 and the break of 1.6230 minor support turned intraday bias neutral for the moment. Some consolidations could be seen first. But near term outlook stays bullish as long as 1.6066 support holds and another rise is still expected. Above 1.6380 will target 100% projection of 1.5827 to 1.6306 from 1.6066 at 1.6545 first.
In the bigger picture, price actions from 1.3503 (2009 low) are treated as consolidations to long term down trend from 2.1161, no change in this view. There are various interpretations on the pattern from 1.3503 but after all, the important point is that it isn't finished yet. The break of 1.6300 resistance suggests that another rising leg is now in progress for 1.7043 and above to extend the consolidation pattern. But we'd expect strong resistance at 50% retracement of 2.1161 to 1.3503 at 1.7332 to limit upside.