- GBP / USD continues the decline from the five-week low.
- Buyers will seek confirmation of the bullish pattern for new entries.
- Sellers can target the main Fibonacci retracement supports in a further decline.
GBP / USD pushed up yesterday’s rally to 1.2238, up 0.08% on a day, as Tokyo opens on Friday. On Thursday, the pair rebounded from the short-term corner technical support line.
As recent cable recoveries direct it towards bullish trends resistance near 1.2330, the rise will depend on the ability of buyers to dominate above this level.
During the successful break of 1.2330, 1.2465 and 1.2500 can entertain optimists before pushing them to the April monthly high near 1.2645.
Alternatively, a bearish break in the support line, to 1.2150 now, can bring the quote down to 50% and 61.8% Fibonacci the pair’s March-April pair retracement levels, respectively, near 1.2045 and 1.1900.
Four-hour GBP / USD chart
Trend: expected decline