GBP/USD Intraday Outlook 12-April-23

GBP/USD Daily Outlook and Analysis

GBP/USD continues to expand its consolidation pattern from 1.2528, maintaining a neutral intraday bias. A further rally is anticipated as long as the 1.2207 resistance-turned-support remains unbroken. On the upside, surpassing 1.2528 will initially target the 1.2763 Fibonacci level. A solid break at this level would aim for the 61.8% projection of 1.0355 to 1.2449 from 1.1805 at 1.3099.

In the larger context, the increase from the 1.0355 medium-term bottom (2022 low) is underway, targeting the 61.8% retracement of 1.4252 (2021 high) to 1.0355 at 1.2763. A sustained break at this level will strengthen the argument for a long-term bullish trend reversal. A further break of the 61.8% projection of 1.0355 to 1.2449 from 1.1805 at 1.3099 could trigger an accelerated upside move towards the 100% projection at 1.3899. For the time being, this scenario remains favored as long as the 1.1805 support is maintained, even in the event of a significant pullback.