[m.youssif]

Mid-Day Outlook

GBP/USD rebounds further to as high as 1.6262 so far today and breaks mentioned 61.8% retracement of 1.6400 to 1.5935 at 1.6222 as expected. Intraday bias remains on the upside for further rise. But we'd expect strong resistance near to 1.6400 high to limit upside and bring another fall to extend the consolidation. Below 1.6091 minor support will flip bias back to the downside for 1.5935 support and below. Though, sustained break of 1.6400 will confirm rally resumption.

In the bigger picture, price actions from 1.3503 (2009 low) are treated as consolidation to long term down trend from 2007 high of 2.1161. Rise from 1.4230 is treated as the third leg of such consolidation and with 1.5343 support intact, such rise could still continue for 1.7043 resistance. But after all, strong resistance should be seen between 1.7043 and 50% retracement of 2.1161 to 1.3503 at 1.7332 to limit upside. On the downside, break of 1.4230 support will be the first signal of down trend resumption and will turn focus to 1.3503 low for confirmation.

[m.youssif]

Mid-Day Outlook

GBP/USD rebounds further to as high as 1.6262 so far today and breaks mentioned 61.8% retracement of 1.6400 to 1.5935 at 1.6222 as expected. Intraday bias remains on the upside for further rise. But we'd expect strong resistance near to 1.6400 high to limit upside and bring another fall to extend the consolidation. Below 1.6091 minor support will flip bias back to the downside for 1.5935 support and below. Though, sustained break of 1.6400 will confirm rally resumption.

In the bigger picture, price actions from 1.3503 (2009 low) are treated as consolidation to long term down trend from 2007 high of 2.1161. Rise from 1.4230 is treated as the third leg of such consolidation and with 1.5343 support intact, such rise could still continue for 1.7043 resistance. But after all, strong resistance should be seen between 1.7043 and 50% retracement of 2.1161 to 1.3503 at 1.7332 to limit upside. On the downside, break of 1.4230 support will be the first signal of down trend resumption and will turn focus to 1.3503 low for confirmation.