[m.youssif]

GBP/USD's rebound from 1.6166 extends further to as high as 1.6379 today so far. As noted before, break of 1.6382 resistance will suggest that whole rise from 1.5935 is resuming. In such case, further rally should be seen through 1.6426 support towards 61.8% projection of 1.5343 to 1.6400 from 1.5935 at 1.6588. However, note that break of 1.6166 will will dampen the bullish view and turn focus back to 1.5935 support instead.

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 1.5935 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]

GBP/USD's rebound from 1.6166 extends further to as high as 1.6379 today so far. As noted before, break of 1.6382 resistance will suggest that whole rise from 1.5935 is resuming. In such case, further rally should be seen through 1.6426 support towards 61.8% projection of 1.5343 to 1.6400 from 1.5935 at 1.6588. However, note that break of 1.6166 will will dampen the bullish view and turn focus back to 1.5935 support instead.

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 1.5935 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.