GBP/USD Daily Analysis
The GBP/USD intraday bias is slightly bearish, with attention on the 1.1914 support level. If this level is broken, the downward trend from 1.2446 could resume and potentially reach the 1.1840 support level or lower. On the other hand, a breakout above the 1.2146 resistance level could shift the bias back to the upside, with potential for further rebound to 1.2269 and higher.
Looking at the bigger picture, as long as the 1.1840 support level holds, the rise from the medium-term bottom of 1.0351 (2022 low) is expected to continue towards the 61.8% retracement level of 1.4248 (2021 high) to 1.0351, which is at 1.2759. However, a decisive break of the 1.1840 support level would complete a double top pattern (1.2445, 1.2446) after rejection by the 55 week EMA, which is currently at 1.2251. In such a scenario, a deeper decline should be expected, with potential support at the 38.2% retracement level of 1.0351 to 1.2445, which is at 1.1645.
