Technical outlook:
GBPUSD might have carved an interim low around 1.2675 levels yesterday. The Cable currency pair is seen to be trading around 1.2740 levels at this point in time and might be looking to continue higher. A potential counter trend rally might be underway towards 1.3180 levels provided 1.2675 holds good. Immediate resistance is seen towards 1.3000, while interim support comes in around 1.2650 levels respectively. The GBPUSD pair dropped earlier from 1,3483 and has carved a meaningful bearish boundary to be worked upon. The fibonacci 0.618 retracement of the above drop is also seen towards 1.3150/70 levels. If prices manage to reach there, a high probability remains for a bearish bounce. The overall structure remains bearish and counter trend rallies should be taken as opportunities to go short again.
Trading plan:
Remain short with stop above 1.3500, target is 1.2200.
Good luck!
