GBP/USD Daily Analysis
The outlook for GBP/USD remains unchanged with a continuation of consolidation from 1.2582. The intraday bias is neutral, and a further rise is expected as long as the support level at 1.2352 remains intact. On the upside, a break above 1.2582 will target the 1.2759 Fibonacci level. A firm break above that level will target the 61.8% projection of the move from 1.0351 to 1.2445 from 1.1801, at 1.3095. However, there is a bearish divergence condition in the 4H MACD to consider. If 1.2352 support is broken, it will confirm a short-term topping and turn the bias to the downside for a deeper pullback.
Looking at the bigger picture, the rise from the medium-term bottom at 1.0351 (2022 low) is underway towards the 61.8% retracement of the move from the 2021 high of 1.4248 to 1.0351, at 1.2759. A sustained break above that level will further support the case for a long-term bullish trend reversal. A further break of the 61.8% projection of the move from 1.0351 to 1.2445 from 1.1801 at 1.3095 could prompt upside acceleration towards the 100% projection at 1.3895. For now, this scenario will remain the preferred case as long as the support level at 1.1801 holds, even in the case of a deep pullback.
