Red line -resistance
Blue line -support
Green line -Fibonacci extension target
GBPUSD is bouncing higher after the better than expected inflation news on the US economy. Technically price continues forming higher highs and higher lows respecting the blue upward sloping support trend line. Price is now challenging and important resistance at 1.1650. If price manages to break to new higher highs above then we will get a new bullish signal and we should expect price to continue higher towards 1.20 which is our next Fibonacci extension target. Support is critical at 1.1330 and at 1.1225. As long as price is above these levels, bulls will remain in control of the trend.
